5 Things To Do When You Rent a Car in Reykjavík
4 min read

5 Things To Do When You Rent a Car in Reykjavík

4 min read
Magnús Jóhann Björnsson
19 Aug. 2025
Blog / Icelandic Culture / 5 Things To Do When You Rent a Car in Reykjavík
Magnús Jóhann Björnsson
19 Aug. 2025
Blog / Icelandic Culture / 5 Things To Do When You Rent a Car in Reykjavík

Reykjavík works in every season. Long summer nights and cozy winter lights make the city feel alive year‑round. With a rental car, it’s easy to cover the highlights in town and slip out for short drives whenever the forecast looks good.

Start with the harbor and the old center for coffee, museums, and street art. Parking is straightforward once you know the zones, and most sights sit within a quick loop. A car also lets you reach places on your own schedule, pools at the edge of the city, viewpoints at sunrise, and restaurants in quieter neighborhoods. If the wind picks up or the weather turns, you can swap plans in minutes.

This guide keeps things simple: five solid, easy wins when you rent a car in Reykjavík—watch real flowing lava, taste the classic hot dog, take in standout architecture, soak at Sky Lagoon, and head out from the harbor to look for whales. Along the way you’ll find picks for cafés and quick eats, parking help, and ideas for half‑day or full‑day trips like the Golden Circle, the Reykjanes Peninsula, Snæfellsnes, and the South Coast.

If you’re landing at Keflavík, the drive into town is simple. From most hotels you can reach Hallgrímskirkja or the harbor in minutes. In winter, choose a 4x4 and leave extra time; in summer, enjoy clear roads and late light. Either way, a car keeps your day flexible so you can follow the weather and the fun.

1) Visit the Icelandic Lava Show

A fiery, live lava pour indoors. It’s a short drive from most hotels and a fun pick on windy or rainy days. Book ahead, plan 90 minutes door‑to‑door, and aim for nearby street parking.

Tip: Pair it with a coffee stop before or after the show (our handy Reykjavík café guide has easy picks with parking).

2) Try an Icelandic hot dog (pylsa)

They’re a local classic. Grab one with “eina með öllu” (everything). You’ll find stands around downtown and at many gas stations when you’re out exploring.

Read more: What’s the fuss about pylsur? Iceland’s most popular fast food: pylsa or pulsa and quick bites in the city: Fast‑food places in Reykjavík you should know about.

Harpa music hall in purple color.

3) Explore the architecture

Drive up the hill to Hallgrímskirkja for the view, swing by Harpa’s glass facade on the harbor, and pass Alþingishúsið (the Parliament) as you loop through the old center. Park once, then walk a short circuit.

Parking help: Rules are simple when you know the zones. Here’s a quick primer: Parking in Reykjavík – guide for rental cars.

4) Relax at Sky Lagoon

Hot pools by the ocean feel good in any weather. Book a timed slot, bring swimwear, and give yourself an hour or two. It’s a short drive from downtown.

Good to know: If you’re heading toward the Reykjanes Peninsula after, this nearby guide is handy: Hidden gems at Reykjanes Peninsula.

5) Go whale watching

Most tours leave from the city harbor. Drive, park, sail, and you’re back with time for dinner.

Planning tip: See when and where whales show up around Iceland (plus self‑drive spots if you want to try from shore): Whale watching in Iceland – self‑drive to the best locations.

Fin whale tail in the ocean with Reykjavik in the background.

More ways to enjoy Reykjavík with a rental car

Use this section to plan easy add‑ons around your main stops. Everything here is close to the center, simple to reach by car, and works in any season. When possible, park once and walk a short loop for cafés, bites, and views.

Eat and drink

Hungry or just need a place to sit down for a coffee? Whether you're in a hurry or looking to pass time you can follow these guideline.

  • Set your café route: Reykjavík café guide
  • Grab a quick bite: Fast‑food places in Reykjavík
  • Burger night? Try these picks: Best burgers in Reykjavík

Getting around + parking

Parking in a city can be tricky and Reykjavik is no exception. However there is an easy way to find parking spaces and avoid fines. 

  • Street parking basics: Parking in Reykjavík – rental car guide
  • Landing at KEF? Here’s the simple route to town: Driving from Keflavík Airport to Reykjavík

Easy day trips from Reykjavík

Just because you have a hotel in Reykjavik doesn't mean you have to stay in the captial for your entire Iceland trip. There are plenty of amazing short trips you can take from Reykjavik. Here are our suggestions for day trips with a rental car from Reykjavik: 

  • Golden Circle – Geysir, Gullfoss, Þingvellir in one loop. Start here: The “Golden Triangle” in Iceland and add variety with extra stops along the Golden Circle.
  • Reykjanes Peninsula – Volcano views, hot springs, coastal cliffs. Use this: Hidden gems at Reykjanes Peninsula. (This is the same peninsula where the Blue Lagoon sits.)
  • Snæfellsnes Peninsula – A mini‑Iceland with beaches, lava fields, and the glacier park. Plan it with: Discover Snæfellsnes by rental car.
  • South Coast highlights – Waterfalls and black‑sand beaches. Don’t miss Seljalandsfoss. Read up before the beach: Reynisfjara safety and info. If you want a longer day, here are top South Coast stops near Jökulsárlón and a broad look at waterfalls you can reach by car.

Person standing on Reynisfjara beach looking at Reynisdrangar.

Why a car helps in Reykjavík

Reykjavík is compact, but its best spots are spread across the waterfront, hills, and quiet neighborhoods. Public transport works, but a car lets you link several stops in one loop, stay warm and dry between them, and switch plans fast when the weather shifts. Most sights have marked, paid parking and the city zones are easy once you learn them.

Driving is straightforward. Roads are well signed and lit, and winter maintenance is strong. In colder months, pick a 4x4 and allow extra time for wind or ice. In summer, long daylight makes evening visits simple and calm.

  • You set the pace and dodge crowds.
  • Weather changes fast. A car gives you plan B.
  • Many top sights are short drives away.

With Blue Car Rental: a very convenient downtown Reykjavík office at Fiskislóð 22, quick online check‑in, key‑box pickup, wide vehicle range (2WD and 4x4), full cover options, and 24/7 roadside assistance. It’s simple and you’re covered.

Practical tips

A few quick notes to keep your day smooth in any season. Reykjavík driving is straightforward, but weather can change fast, so give yourself a little extra time.

  • Winter: choose 4x4 for snow and ice. Take it slow and watch for wind.
  • Fuel: top up before long loops and after hours.
  • Apps: use a parking app for city zones; follow posted signs.
  • Safety: never turn your back to waves at black‑sand beaches. Obey closures.

Wrap‑up: check road and weather updates before you set off, and keep a backup plan in mind—your car makes it easy to switch.

Conclusion

Reykjavík is easy to enjoy in any season, and a rental car keeps your plans flexible for the city and quick escapes. Prefer to start in town? Visit Blue Car Rental Downtown at Fiskislóð 22 — the same cars and service as at Keflavík. When you book with our full insurance, you can use our 24‑hour key‑box for pickup and drop‑off, and online check‑in makes it fast. Our team can help you choose between 2WD and 4x4, share parking tips, and suggest simple day‑trip routes like the Golden Circle, Reykjanes, Snæfellsnes, or the South Coast. With your own wheels you can time visits for quieter hours, follow the weather, and make quick café or photo stops without a tour schedule. If you’re new to city driving here, start with our quick overview: Discover Reykjavík with rental cars.

FAQ

Do I need a car to enjoy Reykjavík?

No, but it helps. If you like flexibility and day trips, renting is worth it. See ideas here: Top 5 short road trips from Reykjavík.

Is parking hard downtown?

It’s fine once you know the zones. Read our simple parking guide.

Can I do the Golden Circle in winter?

Yes, with care. Check conditions and allow more time. A 4x4 helps. Use these planning notes: Golden Circle overview.

How far is Sky Lagoon from the center?

A short drive. Book a time slot and go.