Car hire in Keflavík, Iceland

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Compare car hire on price, ease of pick-up, a fair fuel policy and more

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There are 35 car hire locations in Keflavík. Choose the cheapest or easiest now.

The most popular car rental companies in Keflavík

Hiring a car in Keflavík: Fast facts

Here's everything you need to know to hit the road happy.
Most popular car hire companyFairCar
Most popular carIntermediate/Standard, SUV
Average daily price$421
Best time to book3 weeks before

How to book the best car rental deals in Keflavík

We’re frequently named as the most trusted travel search site out there. We scan hundreds of trusted travel providers and put it all in one place, allowing you to instantly compare car hire rates and then book with no fees. Here's how to get the most out of your Keflavík car rental search.

How to find a cheap car hire deal in Keflavík

  • Travel at your own pace with a cheap rental car in Keflavík. With prices averaging $421 a day, you're on the road to better value. From zippy compacts to roomy SUVs, we'll help you pick your kind of ride at your kind of price.

  • February is the cheapest month to rent a car in Keflavík. With average daily rates of $69, you're riding easy with savings like these.

  • To score a cheap rental car in Keflavík, book in advance. Prices generally climb as your travel dates get closer, and waiting too long might mean missing out.

  • Line up your ride with FairCar, Nordic Car Hire or Sixt. These are some of the most trusted providers offering car hire deals in Keflavík.

  • Whether you go with FairCar or another supplier, double-check the coverage on your Keflavík car hire. Some companies include a collision damage waiver (CDW), while others offer it as a paid extra.

  • Look into booking a one-way rental. You might be able to lock in a good deal if the provider needs to shift vehicles between branches. Discover the best available rates for a car for rent in Keflavík by clicking 'Return car to a different location.'

  • Search for a vehicle with a 'Fair fuel policy.' You'll pick up and drop off your car hire in Keflavík with a full tank, so you're only paying for what you use. You won't get hit with overpriced refueling charges either.

  • Want to explore without stressing about the number of miles you cover? Find rentals with 'Unlimited mileage' under the 'Policies' filter and go as far as you like without the extra fees.

Compare car hire types in Keflavík

  • Small: Whether you're cruising narrow city streets or taking a short trip, a cheap rental car in Keflavík from this category delivers big value in a small package. Including mini and economy classes, you can look forward to easy handling and excellent mileage.

  • Medium: Choose from compact and intermediate cars that combine comfort, space and fuel efficiency. Easy to handle in cities and roomy enough for longer drives, they're a reliable fit for most trips.

  • Large: Long drives are effortless in this Keflavík car hire category. Also known as full-size, they're built with bigger engines for better driving. The extra space and comfort make them a popular choice for families and groups of friends.

  • SUV: SUVs are your four-wheel fix for wanderlust. All-wheel drive and everyday versatility equip them for city streets and country backroads alike.

  • Van: If you're looking for a car for rent in Keflavík big enough for a small crowd (and their suitcases), a van is the practical pick. Including commercial vans and trucks, they're a great choice for group trips, moving or business use.

Insurance and optional extras

  • Car rental excess insurance isn't a necessity, but is something to think about. If your ride is damaged, no matter how minor, it can help you avoid paying a hefty excess fee. Different Keflavík car hire providers have varying insurance policies and cover levels, so check the details before booking.

  • From GPS units to mobile Wi-Fi hotspots, the right extras can seriously level up your drive. Look into which add-ons could improve your trip when you rent a car in Keflavík.

Good to know

  • The minimum age to rent a vehicle in Iceland is generally 21 years old. However individual providers may do things differently, so always double-check your rental company's policy to see what applies to you.

  • Travel plans include the kids? Car seat requirements vary from one place to another, and the correct setup may depend on their age, weight and height. Find out if you need to add one to your Keflavík car hire reservation.

Hit the road: Where to drive from Keflavík

  • Don't leave town without ticking off some of the city's top attractions, like Keflavíkurkirkja and Vatnsnes Lighthouse. Snap up a car hire deal in Keflavík and then start sketching out your sightseeing game plan.

  • If you're after a place to stay in Keflavík while touring around, consider Hotel Keflavik by Reykjavik Keflavik Airport or ABC Hotel by Reykjavik Keflavik Airport.

  • Buckle up and make tracks to Reykjavik. Around 32 kilometres north-east of central Keflavík, it's home to must-see sights like The Northern Light Centre and Harpa.

  • 101 Guesthouse Hotel and Hilton Reykjavik Nordica are popular accommodation options in Reykjavik.

  • Alternatively, pick up your cheap car hire in Keflavík and then head out to Kópavogur. About 32 kilometres east of Keflavík, Midnight Hikes Reykjavik and Reykjavik Safari are highlights that make the drive more than worth it.

  • Put your feet up after a long day in Kópavogur at Reykjavik Peace Centre Guesthouse. Or trade the open road for a quiet stay at 101 Guesthouse Hotel.

  • Keep the momentum going and road-trip it to Saudarkrokur, roughly 241 kilometres north-east of Keflavík. Kick things off at Drangey Tours, then head to Puffin and Friends.

  • Close your eyes and rest in Saudarkrokur at Hótel Tindastóll. Grand-Inn Bar and Bed has a soft bed ready for you too.

Frequently asked questions

The cheapest car to rent in Keflavík is an intermediate SUV. The most popular is Intermediate/Standard, SUV.
The cheapest car hire companies in Keflavík are currently FairCar and Alamo.
Bagging the best car hire deal depends on when you book  – often, it pays to book your wheels as far in advance as possible. But according to our data, the cheapest month to rent a car in Keflavík is currently February.
On average, around $255. But the best price we found for car hire for a week in Keflavík is $167.
Based on everything we know about daily prices, the average cost to hire a car in Keflavík for a whole month is $3,311. 

But sometimes, you'll get a discount for booking a whole month instead of 3 and a half weeks. So play with your dates to find the best deals!
If you're looking for freedom to explore Keflavík, choose a car with unlimited mileage, or look for car hire deals with a ’full to full' fuel policy as opposed to a 'half-full to full' one.

We also clearly highlight car and van hire options in Keflavík that have free cancellation
Yes – you can easily find car hire companies that allow you to pick up your car in one place, and then drop it off in another. Just select ‘Return car to a different location’ when you search with us.
Public transport can only get you so far, and could be tricky to navigate with children or luggage. With your own set of wheels, you can go wherever you want, whenever you want, for as long as you want. And you'll be able to discover more outside of Keflavík.
Most places – Keflavík included – allow under 25s to rent a car as long as they provide a valid driver's license and the correct documentation. It may cost slightly more due to a higher insurance excess for young drivers. 
The cheapest price we found for an economy car is $107 per day. The average price per day is around $209.
Of course. Most major car hire companies like FairCar, Sixt and Nordic Car Rental offer baby and child seats as an add-on when you book.
Other travellers rated FairCar as the best overall in terms of experience.
We search the internet for all kinds of vehicle hire deals, including vans. But at the moment, we can't find any van hire in Keflavík.