How many hotels are in Iceland?

Iceland has 177 hotels with a total of 12,562 rooms. The hotel sector has grown significantly since 2010 to accommodate increasing tourism demand.

What is the hotel occupancy rate in Iceland?

The current hotel occupancy rate in Iceland is 53.3%. Occupancy varies significantly by season, with peak rates during summer months (June-August) often exceeding 90% in popular areas like Reykjavik.

How many overnight stays do tourists have in Iceland?

Foreign tourists account for approximately 4.9 million overnight stays in Icelandic hotels annually. The average length of stay is around 2-3 nights per visitor.

Which region in Iceland has the highest hotel occupancy?

The Capital Region (Reykjavik area) consistently has the highest hotel occupancy rates in Iceland, typically 10-20 percentage points higher than other regions. The South and Reykjanes Peninsula also see strong occupancy due to their proximity to the airport and popular attractions.

When is peak season for Iceland hotels?

Peak season for Iceland hotels is June through August (summer), when occupancy rates are highest and prices peak. Shoulder season (May, September-October) offers good availability and moderate prices. Winter (November-April) is low season for most hotels outside Reykjavik, though northern lights tourism has increased winter demand.

Iceland Hotel Statistics

Iceland has 177 hotels with 12,562 rooms.
Capital Region occupancy: 60%

Overnight stays, capacity & occupancy rates across all regions

Overnight Stays

Foreigners · TTM

4.9M

+8.2%YoY

Overnight Stays

Foreigners · Apr 2026

319k

-2.4%YoY

Capital Region Occupancy

Apr 2026

59.7%

-2.3 ppvs 2025

Hotel Rooms

177 hotels

12,562

Capacity

Overnight Stays — Foreigners

Year-over-year comparison

May '24 – Apr '25

May '25 – Apr '26

YoY %

May '24 – Apr '25

May '25 – Apr '26

YoY

Regional Performance

Apr 2026

Occupancy rates & overnight stays by region

Occupancy Rate

Reykjanes

66%

+3.6pp

Capital

60%

-2.3pp

South

52%

-6.1pp

North

42%

-2.1pp

East

34%

-13.9pp

West

33%

-3.5pp

Overnight Stays

Foreign

Domestic

Total

Reykjanes

32k-1%

Capital

184k-3%

South

94k+4%

North

30k-9%

East

8k-9%

West

17k-7%

💡 Compare occupancy rates with actual overnight stays across regions

Hotel Capacity by Region

Number of hotels, rooms, and beds · YoY change

Region	Hotels	±	Rooms	±	Beds	±
Capital region	59	+1	5,771	+215	12,663	+514
South	54	+7	3,196	+443	7,044	+884
Northeast	20		1,203	-10	2,572	-44
Reykjanes	15		902	-51	1,938	-131
West	15	-1	763	-12	1,645	+4
East	10	+1	424	+88	914	+202
Northwest	3	-1	182	-26	413	-52
Westfjords	1		121		485
Total	177	+7	12,562	+647	27,674	+1377

Change (±) shows year-over-year difference vs 2025

Top Source Markets

Apr 2026

Overnight stays by nationality · YoY change

United States of America

80k nights

41.1%

-7%

United Kingdom

41k nights

21.0%

-14%

Germany

26k nights

13.1%

-9%

China

18k nights

9.3%

+32%

France

18k nights

9.2%

+3%

Italy

12k nights

6.3%

+5%

Average Stay Length

TTM

Overnight stays per visitor · Top 6 source markets

🇨🇳

China (392k nights / 114k pax)

3.4

🇩🇪

Germany (407k nights / 145k pax)

2.8

🇬🇧

United Kingdom (593k nights / 236k pax)

2.5

🇺🇸

United States of America (1.5m nights / 659k pax)

2.2

🇫🇷

France (204k nights / 99k pax)

2.1

🇮🇹

Italy (174k nights / 94k pax)

1.8

Overnight Stays per Visitor

Trend

Average overnight stays per foreign arrival

May '25 – Apr '26

May '24 – Apr '25

Room Capacity Growth

Total hotel rooms by year

2015 → 2026+71% growth

Domestic Overnight Stays

Icelandic guests · Annual totals

Normal

COVID

YTD

Data Notes

Hotel data includes only traditional hotels that are open year-round. Occupancy rates measure room utilization as a percentage of available capacity. 2025 figures are preliminary.