Iceland car rentals in 2025
Get helpful information to start your search for the perfect car rental in Iceland. The average price data is based on the last 12 months and was last updated on 17 June 2025.
Most popular company | Fair Car |
|---|---|
Most common car type | Intermediate |
Average price per day | AED 295 |
Cheapest price per day | AED 295 |
Cheapflights insights for Iceland car rentals
Get relevant, data-driven information to help you hire a car in Iceland, including pricing trends, ideal booking times, and more.
How far in advance should I hire a car in Iceland?
For the best savings on car hire in Iceland, make your reservation 7 days before pickup. The average price then is just AED 176/day – about 231% less than the yearly average.
What is the cheapest car hire company in Iceland?
Ice Rental 4x4 is currently the cheapest car hire company in Iceland with deals as low as AED 273.54/day found in the past two weeks. Firefly is another inexpensive option with rates as low as AED 288.67/day.
What is the cheapest month to rent a car in Iceland?
The cheapest month to hire a car in Iceland is January, when you can expect to pay AED 158/day on average. The most expensive month to hire a car in Iceland is July (AED 305/day on average). The average daily car hire price for each month is shown below. Keep in mind that prices will vary based on availability, when you book, and the type of car you hire.
January
AED 158
February
AED 162
March
AED 162
April
AED 165
May
AED 180
June
AED 250
July
AED 305
August
AED 279
September
AED 184
October
AED 162
November
AED 162
December
AED 176
What car do most people hire in Iceland?
Intermediate cars (Class Intermediate SUV or similar) are the most popular option for those visiting Iceland. Passenger van cars (Dacia Jogger or similar) are also a popular choice, followed by SUV cars (Class Intermediate SUV or similar).
Which car hire company has the most locations in Iceland?
keddy by Europcar has 21 locations throughout the area, more than any other company. Sunnycars has the second-highest number of locations in Iceland at 19.
Top rental agencies in Iceland
Explore the leading car rental agencies in Iceland known for their outstanding service and extensive range of vehicles to choose from. There are currently 8 car rental companies in Iceland. Reviews were last updated on 17 June 2025.
Europcar
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Hertz
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Budget
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GREEN MOTION
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Thrifty
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Ice Rental Cars
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Dollar
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Ice Rental 4x4
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Car rental FAQs
Find answers to frequently asked questions about car rentals in Iceland, including policies, requirements, and more. FAQs were last updated on 17 June 2025.
What is the most popular car hire provider in Iceland?
With an average price of AED 336/day, Ice Rental 4x4 is the most popular car hire provider in Iceland, booking 60% more hire cars than any other provider.
What is the cheapest city to get a rental car in Iceland?
When visiting Iceland, it is typically cheapest to rent your car in Reykjavik where rental cars typically will cost around AED 295/day (0% less than the country average). The absolute cheapest rental car price in Iceland was found in Reykjavik for just AED 238/day.
What side of the road do you drive on in Iceland?
In Iceland, drivers are expected to drive on the right side of the road.
Car rentals by fuel type in Iceland
Browse car rentals by fuel type in Iceland. Currently, Petrol/Diesel cars are the cheapest to rent in Iceland. Deals were last updated on 17 June 2025.
Browse through car rental deals by fuel type in Iceland. There are currently 3 fuel types to choose from with Petrol/Diesel being the cheapest (AED 76+).
Electric
AED 114+
Hybrid
AED 96+
Petrol/Diesel
AED 76+