Travel Tips for Iceland

Guide to Renting a Car at Iceland Keflavik Airport


All you need to know for renting a car in Keflavik airport iceland

Arriving at Keflavik Airport, Iceland’s primary international gateway, marks the beginning of your Icelandic adventure. When you look for the airport to go to Reykjavik, the capital of Iceland, it is Keflavik Airport. If you’re planning a self-driving trip, Keflavik Airport is the ideal place to pick up your rental car, allowing you to start exploring Iceland right away. Here’s everything you need to know to make the most of your car rental experience at Keflavik Airport.

Rent a Car from Keflavik Airport

About Car Rentals at Iceland’s International Airports

While Keflavik Airport is the primary international airport in Iceland, there are three other international airports in Reykjavik, Akureyri, and Egilsstadir, plus nine domestic airports throughout the country. However, Keflavik Airport (KEF) is the main stop for international travelers, even if they have connecting flights to other Icelandic cities.

When planning your trip, it’s best to rent your car at Keflavik Airport to avoid the hassle of additional flights and to enjoy the flexibility of driving around the island. Check out our complete guide to driving around Iceland for more details.

Why Rent a Car at Keflavik Airport?

There are many good reasons to book a car rental at Keflavik Airport. 

  • Easy process

As soon as you land in Iceland, you’ll be able to access your car rental in Keflavik and head to your next destination, whether it’s Reykjavik or anywhere else in the country. Then, when you leave Iceland, all you have to do is conveniently drop your rental car off near the airport and take a shuttle to the departure terminal. There are no extra pick-up or drop-off tasks required, making for a smooth and easy process that makes for less travel stress.

  • Affordable transportation 

In addition to reducing the time needed to pick up and drop off your car, renting your car directly at Keflavik Airport will also save you money. Taking a bus or taxi from the airport to your hotel or a car rental provider in a further city will cost extra money and eat up more of your travel budget. Additionally, the overall car rental rates are often cheaper at the airport than they are in Reykjavik, and you get more overall car options. 

  • More freedom

Likewise, your car rental at Keflavik Airport will give you an unprecedented amount of freedom during your trip: enjoy the flexibility to explore Iceland at your own pace without being restricted by public transport schedules.

  • Convenient location

Lastly, Keflavik Airport is located near many of Iceland’s top attractions, such as the Blue Lagoon and Fagradalsfjall volcano. Renting a car at Keflavik allows you to immediately drive to those attractions after landing at the airport, versus going into the city to get a rental car in Reykjavik and then back-tracking to those attractions.

Car Rental Options at Keflavik Airport

Local vs International Car Hires in Keflavik Airport

When booking rental cars at Iceland’s Keflavik Airport, you’ll see that you have various options. 

In the Keflavik Airport arrivals hall, you’ll find international car rental brands. While these brands may be preferable to international travellers who like to book with the same brands everywhere they travel, they come with a few downsides.

For one, if you’re particularly looking for a cheap car rental at Iceland’s Keflavik airport, you won’t find that with an international car rental company - this is partially due to the companies’ locations within the actual airport — they have to pay a higher cost for their location, and they pass those costs on to the consumer. 

We always recommend travellers to Iceland book with a local car rental company. You’ll enjoy many more perks, plus the knowledge and know-how that only locally-owned companies can offer. Also, if you're looking for a cheap car rental in Iceland's Keflavik Airport, you might want to choose this option too.

What Type of Vehicles Can You Rent From Iceland’s Airport?

You definitely won’t be left wanting options if you book a car rental at Iceland’s airport. You’ll find just about every type of vehicle you might need during your trip.

  • 4x4 vehicles

A variety of 4x4 vehicles are available. A 4x4 vehicle is typically necessary if you’re travelling to Iceland during the winter months. Likewise, a 4x4 vehicle is necessary if you’re travelling to Iceland during the summer and plan on visiting the Highlands and other rough-terrain destinations. In the Highlands particularly, a 4x4 vehicle is required by law. For more information, check out our full guide to 4x4 rentals in Iceland.

4x4 in Iceland for Highlands and rough terrain

  • Campervans

Campervans are ideal if you want to bundle the cost of your transportation with the cost of your accommodations. Renting a campervan in Iceland allows you to see more of the country with more freedom, as there’s no need to find a hotel with a free room wherever you happen to be — just park and camp. However, there are strict rules about camping in Iceland, so you’ll want to give our Iceland camping guide a quick read before you settle on your itinerary. 

  • Economy Cars

For the budget traveller who plans to stay in well-populated areas around Iceland, either during the summer or winter, an economy car is a suitable option, especially for solo travellers or travelling couples who need relatively little space.

  • Electric Cars 

For environmentally-conscious travelers, electric cars are an excellent choice. These vehicles offer the benefits of reduced emissions and lower fuel costs, making them ideal for exploring Iceland's well-populated areas with numerous charging stations available. Electric cars are perfect for those who want to minimize their carbon footprint while enjoying the stunning Icelandic scenery.

How to Rent a Car at Keflavik Airport

Booking in Advance

The best way to secure your rental car is to book ahead of your travel. This ensures you get the vehicle you want at a better rate. During peak seasons, booking in advance is crucial due to high demand.

Upon Arrival

If you haven’t booked in advance, you can still rent a car upon arrival. However, this comes with risks, especially during the summer when availability is limited. Booking in advance is always the best option to avoid inconvenience and higher costs.

Benefits of Renting with Lava Car Rental

Lava Car Rental logo

  • Customer Reviews: Lava Car Rental is highly recommended by customers for its efficient and friendly service.

Lava Car Rental is one of the most trusted, well-reviewed local car rental companies in Iceland. But don’t just take it from us! 

Recent Google reviews say things like, “Lava Car Rental was awesome. They picked us up from the airport and got us in our car really quickly. They checked in with us and even sent us driving tips and updates during our trip. The car was perfect for driving the Ring Road, very reliable. The drop-off went seamless, and I would rent from them again in a heartbeat. Definitely recommend Lava!” and “The team at Lava was fantastic to work with throughout the entire rental process. From booking the rental to questions before getting my rental, to having the driver pick me up at the airport right on time, answering questions during the rental, and through the return process, they were phenomenal. I would totally use them again and highly recommend anyone travelling to Iceland use them to rent a car. They are a small-owned business and provided a better rental experience than I've had with 'big box' companies like Hertz and others. They get an A+ from me!”

  • Free Cancellation: Cancel up to 48 hours before your pick-up time without any charges.
  • Flexible Payment Options: Pay 10% at booking and the rest upon arrival.
  • Included Insurance: All rentals include SCDW, Theft Protection, and Gravel Protection, with the option to upgrade to full coverage.
  • Vehicle Selection: Choose from economy cars, 4x4 vehicles, SUVs, electric cars and campervans.
  • Local Expertise: Benefit from local knowledge to make the most of your trip.
  • Convenient Shuttle Service: Free pick-up and drop-off at Keflavik Airport and our nearby office.
  • Pick-up and Drop-off Anytime with a self-service option

Learn More about Lava Car Rental

Saving Money on Your Iceland Airport Car Rental 

If you specifically want a cheap car rental from Keflavik, there are a few ways you can save money on your car rental, whether you book with Lava Car Rental or another provider. Here are some of our top tips for saving money on your Iceland airport car rental. 

  • Choose the right vehicle

When you first start browsing available car rentals from Keflavik, you may be tempted to book an economy car simply because it’s cheaper. But you may want to reconsider, especially if you plan on travelling to some of Iceland’s more remote areas or if you’ll be using F roads (you can learn more about the potential hazards that come with driving in these areas on our guide to renting a 4x4 in Iceland).

If you plan to travel to these areas, such as in the Highlands or the Western Fjords, you absolutely need a 4x4 vehicle. While this is the more expensive option at first, in the long run, it’s going to be cheaper for you than trying to traverse the F roads with an economy car. That’s because (a) if you’re driving a 2WD vehicle on an F Road, you’ll receive a hefty fine and (b) if your 2WD car is damaged while on an F road, you’ll be charged additional fines for repairs.

Rent a car and drive yourself through the amazing scenery in Iceland

  • Rent a vehicle in Keflavik Airport rather than in Reykjavik

While you may be staying in Reykjavik, you can save a fair amount of cash by renting your car at Keflavik Airport. Most of Iceland’s car rental companies are located in Keflavik, near the airport, and offer competitive pricing, whereas Reykjavik car rental companies are a bit pricier. 

If you rent your vehicle at Keflavik Airport, you can simply pick up your vehicle as you leave the airport and then drop the vehicle off again as you head back to the airport. If you use Lava Car Rental, you’ll receive free transportation to and from the airport, too. This will save you even more cash, as you won’t need to pay for a taxi or rideshare service to and from the airport. 

  • Travel during the shoulder or low season

Visiting Iceland during the shoulder or low seasons (fall, winter or spring) can save you a fair bit of cash on your entire trip, not just when it comes to renting your car. You’ll save money on flights, accommodations, food, recreation and more. Fewer tourists mean more affordable prices.

Unfortunately, visiting Iceland during the fall, winter or spring does come with a few downsides. You won’t be able to visit some of Iceland’s more remote areas due to inclement seasonal weather, and it will be a good deal colder and snowier. You can learn more about travelling around Iceland during the winter in our full guide to winter driving in Iceland

Car on Icelandic road in winter

  • Book for longer periods

The longer your rental period, the lower the price of your vehicle per day might be.

If you're booking your rental car for at least a week which you’ll need to see the best spots in Iceland, particularly if you’re driving the Ring Road, check with your car rental agency if they offer a discount for longer rental periods, and take advantage of those savings!

  • Look out for discounts

Check if the car rental companies are giving exclusive discount offers so that you can save even more on your Iceland car rental.

Exploring Attractions Near Keflavik Airport

Renting a car at Keflavik Airport versus getting a car rental in Reykjavik will allow you to easily explore the various attractions near the airport, more conveniently, as soon as you arrive in Iceland. This is especially nice if you arrive in the morning or afternoon, and you'd like to start exploring right when you get here. 

Blue Lagoon is one of the biggest attraction near Keflavik airport

Popular attractions around Keflavik Airport include the eruption area of Fagradalsfjall volcano and Blue Lagoon. Even if you don’t start your Iceland vacation with one of these experiences, you can end your vacation with one of them, particularly if you have a later flight. There’s no need to go sit in the airport all day after you check out from your hotel. Just check out, drive to one of these Reykjanes Peninsula attractions, enjoy your day and then drop off your car before boarding your flight.

Frequently Asked Questions

Can I rent a car upon arrival at Keflavik International Airport?

Yes, it is possible to rent a car upon arrival at Keflavik Airport. The car rental providers in the area offer desks throughout the airport, where you can ask about current availability. Many of these desks are operated 24 hours per day, so you can receive service regardless of the time of your arrival. 

However, waiting until you arrive to rent a car comes with its risks. During the high season (summer), you may find that none of the rental providers has vehicles available, leaving you stranded and relying on expensive bus and taxi services to get into the city. If the providers do have cars available, you might find that they don’t have very many options, so you might not get the car you want. Instead, you may be forced to pay for a larger and more expensive vehicle than you need. 

Your best bet if you want to rent a car in Iceland is always going to book in advance. The further in advance you book, the more money you’ll save and the more likely you’ll get to book the car you want.

Can I pick up and drop off my car at Keflavik Airport at any time?

This will all depend on the company from which you rent your car. Make sure that you check the opening hours of the car rental agency before you book to confirm that you can pick up and drop off your car at your desired times.

Can I rent a car in Reykjavik?

If you are already in the capital and want to rent a car in Reykjavik directly, that is also possible. Some car rental companies have an office in Reykjavik while others offer pick-up and drop-off services in the city or at Reykjavik Airport for an extra cost. When making your car rental reservation, make sure that you select the right pick-up and drop-off options and that you are aware of the extra costs that it may incur.

Also, as explained before, keep in mind that Reykjavik Airport (RKV) and Keflavik Airport (KEF) are not the same. In some flight vouchers, you might see that you are flying to "Reykjavik" but it is Keflavik instead. If you are coming on an international flight, you will be arriving at Keflavik Airport. If you're looking for a car rental in Reykjavik city or a car rental in Reykjavik Airport, check if the company offers that option.

When should I book my car rental in Iceland?

As noted, there is only a limited number of rental cars available in Iceland, and they do go quickly, especially during the summer months. The best thing you can do is book your car rental as early in advance as possible. If you’re travelling during the summer or the holiday seasons like Easter or Christmas, you should book your car rental as soon as your travel dates are confirmed, right after you book your flight.

No matter the season, though, booking earlier rather than later will ensure that you get to rent with the company you want, get to rent the car you want and get a better overall rate on your car rental.

Typically, we suggest travellers book their car rentals at least three to six months in advance of their trip.

Start Your Iceland Adventure with Lava Car Rental

Renting a car at Keflavik Airport with Lava Car Rental is the best way to explore Iceland. Enjoy the convenience, affordability, and freedom to make your trip unforgettable. Book your car rental today and start your Icelandic adventure the moment you land.

Rent your Car in Iceland with Keflavik Airport Pick-Up Today

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