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Iceland

Cheap Car Rentals in Iceland from RM 197

This price is the cheapest per day rate found by a Cheapflights user in the last 48 hours by searching for a car hire in Iceland with a pick-up date of 29/9 and drop-off date of 6/10. Fares are subject to change and may not be available at all agencies or on all dates of hire. Click the price to replicate the search for this deal.
Driver's age: 25-65
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Iceland car rentals in 2026

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 1 August 2026.

Most popular company

Ice Rental 4x4

Most common car type

Intermediate

Average price per day

RM 258

Cheapest price per day

RM 197
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Popular car types in Iceland

Explore the most popular car models available for rent in Iceland and choose the one that suits your needs. The price data is sourced from various car rental companies and was last updated on 1 August 2026.
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At RM 197/day, small car is the cheapest car type available for hire in Iceland in the past week. Out of 77 car hire agencies operating in Iceland, there are, in total, 278 hire locations. View below for 2 offered car types:

Economy

Economy

RM 197+

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Compact

Compact

RM 228+

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Full-size SUV

Full-size SUV

RM 759+

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Compact estate car

Compact estate car

RM 174+

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Compact SUV

Compact SUV

RM 241+

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Intermediate SUV

Intermediate SUV

RM 260+

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Intermediate estate car

Intermediate estate car

RM 283+

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Standard SUV

Standard SUV

RM 464+

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Best car rental deals found in Iceland

Browse through a selection of recently found affordable car rental deals in Iceland. Plan your trip with ease and find the perfect rental option for your needs. There are currently 8 rental car agencies in Iceland with an average daily rate of RM 357. Data was last updated on 1 August 2026.
Perodua MyviRM 197/day
2
M
Perodua Myvi
Found 07/30/26
Proton SagaRM 223/day
2
M
Proton Saga
Found 07/30/26
Hyundai i20RM 228/day
4
M
A/C
Hyundai i20
Found 07/30/26

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 49 days before pickup. The average price then is just RM 204/day – about 263% less than the yearly average.

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What is the cheapest month to rent a car in Iceland?

At Iceland, the best time to rent a car is at January, with an average daily rate of just RM 159. Conversely, August is the priciest month, averaging RM 408 per day. Below youll find the monthly average rental prices. Note that costs can fluctuate depending on availability, booking time, and vehicle type.|1#In Iceland, the best time to rent a car is in January, with an average daily rate of just RM 159. Conversely, August is the priciest month, averaging RM 408 per day. Below youll find the monthly average rental prices. Note that costs can fluctuate depending on availability, booking time, and vehicle type.

January

RM 159

February

RM 172

March

RM 184

April

RM 192

May

RM 216

June

RM 278

July

RM 388

August

RM 408

September

RM 233

October

RM 192

November

RM 163

December

RM 172

What car do most people hire in Iceland?

The most popular types of cars to hire in Iceland are the following: SUV cars (Kia Sportage or similar), Mini cars (Hyundai i10 or similar), and Compact cars (Suzuki Vitara or similar).

Which car hire company has the most locations in Iceland?

Avis has 8 locations throughout the area, more than any other company. NextCar has the second-highest number of locations in Iceland at 1.

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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 1 August 2026.

Avis

9.2
Wonderful
1 review•8 locations
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Overview

Cleanliness

9.6

Comfort

8.8

Overall

9.2

Pick-up/drop-off

9.2

Value

7.6

Routes Car & Truck Rentals

5.7
Fair
11 reviews•1 location
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Overview

Cleanliness

6.7

Comfort

5.4

Overall

5.7

Pick-up/drop-off

5.1

Value

6.1

Go Rentals

1 location
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NextCar

1 location
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National

3 locations
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Rhodium

1 location
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RAS Car Rental

4 locations
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Fara Car Rental

2 locations
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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 1 August 2026.

  • What is the most popular car hire provider in Iceland?

    With an average price of RM 316/day, Ace 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?

    At RM 267/day, it is 15% cheaper on average to rent a car in Reykjavik than any other city in Iceland. The cheapest price found in Iceland was for RM 156/day in Reykjavik.

  • What side of the road do you drive on in Iceland?

    Cars in Iceland are to be driven on the right side of the road.

Car rentals by fuel type in Iceland

Browse car rentals by fuel type in Iceland. Currently, Hybrid cars are the cheapest to rent in Iceland. Deals were last updated on 1 August 2026.
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Browse through car rental deals by fuel type in Iceland. There are currently 3 fuel types to choose from with Hybrid being the cheapest (RM 41+).

Electric

Electric

RM 52+

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Hybrid

Hybrid

RM 41+

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Petrol/Diesel

Petrol/Diesel

RM 52+

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Browse thousands of different options on Cheapflights for your next trip

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Airport car hires in Iceland

Hire a car at one of these airports in the Iceland area
Reykjavik Keflavik Intl Airport car rentals
Akureyri Airport car rentals
Reykjavik Domestic Airport car rentals

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