Pros

  • Quiet bed-and-breakfast close to southern Iceland's natural attractions
  • Seven casual, modern rooms with flat-screens and en-suite bathrooms
  • Lounge with all-day coffee and tea
  • Small bar stocked with Icelandic beer
  • Guided jeep and glacier hiking tours available
  • Free parking
  • Free Wi-Fi
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Cons

  • No full restaurant, though pre-booked dinners are available
  • No fitness room or hot tub
  • Not much dining and nightlife in the area (pro for some)
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Bottom Line

The Volcano Hotel is a relaxed bed-and-breakfast with seven affordable rooms that all have private bathrooms. It's not the kind of place to spend an entire vacation, but there's just enough here to make it a worthwhile stop for a short stay. A full breakfast is included and dinners with limited menus can be pre-arranged in the lounge, but there's no full restaurant or any other facilities. The owners run guided tours into the glaciers, and their hospitality combined with the quiet pastoral setting help make this one of Iceland's most popular small hotels. The Grand Guesthouse Gardakot nearby has rooms with a bit more character, though only two of them have private bathrooms.

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Oyster Hotel Review

Volcano Hotel

Scene

Secluded, rural bed-and-breakfast

There aren't many hotels in this area to begin with, so bed-and-breakfasts like the Volcano Hotel, set on what used to be a family farm, offer some much needed variety. This little outpost is domestic and welcoming, with only sheep and cows for neighbors in a quiet landscape. The black volcanic gravel that makes up the parking lot almost seems to spill inside the small lobby, where the floors are made of the same onyx material. The common space is a TV lounge and breakfast room in one (as well as an occasional evening dining room) where the owners can often be found chatting with guests and offering local expertise on the area's volcanoes and glaciers.

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Location

In southern Iceland, west of the small town of Vik

Located in southern Iceland, the hotel is surrounded by rolling grassy meadows, with little else around for miles. The small town of Vik, a 10-minute drive away to the east, has a small cluster of hotels along with a few restaurants and shops. It's close to some of Iceland’s more remote natural wonders, including glaciers, volcanoes, black-sand beaches, and hot springs. Mt. Reynisfjall is just a seven-minute drive, where guests can hike numerous trails and observe puffins and other abundant birdlife. The seafront Dyrhólaey nature reserve is a 12-minute drive south, while the Skógarfoss waterfalls are west along the coast about 17 minutes away. Reykjavik is just over two hours away by car. Expect just under a three-hour drive to Keflavik International Airport (KEF). 

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Rooms

Casual rooms with natural native materials and private bathrooms

Each of the seven rooms has a simple decor that's elevated by the use of natural materials from the region. The wood floors are made from native beech trees, and the striking black stone flooring is made made from volcanic material taken from the area's black-sand beaches. Small desk tables are accompanied by a pair of chairs, and the bedside tables are crafted from local driftwood. Flat-screen TVs come standard, along with free Wi-Fi. One upgraded Superior Double Room has a private entrance with its own patio, and there are a few Family Rooms with sofa beds. All have private bathrooms with black-sand floors and small walk-in showers. Note that water tends to spill outside of the swinging glass doors or flimsy shower curtains that form the shower enclosure. 

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Features

Guided jeep and hiking tours, lounge with a small bar, and free breakfast

The owners of this bed-and-breakfast run their own licensed touring company, which offers guided excursions throughout the area. Jeep tours into the interior and guided hikes to nearby glaciers can be arranged on-site. Daily breakfast includes a variety of breads, eggs, waffles, fresh fruit, and vegetables, along with juice, coffee, and tea. There's a small bar in the combination TV lounge/breakfast room, with a selection of wine and Icelandic Viking beer. There's no full restaurant, but fixed menu dinners (featuring seasonal local fare like arctic char) can be arranged if booked ahead of time. 

See More Features

Oyster Hotel Review

Volcano Hotel

Scene

Secluded, rural bed-and-breakfast

There aren't many hotels in this area to begin with, so bed-and-breakfasts like the Volcano Hotel, set on what used to be a family farm, offer some much needed variety. This little outpost is domestic and welcoming, with only sheep and cows for neighbors in a quiet landscape. The black volcanic gravel that makes up the parking lot almost seems to spill inside the small lobby, where the floors are made of the same onyx material. The common space is a TV lounge and breakfast room in one (as well as an occasional evening dining room) where the owners can often be found chatting with guests and offering local expertise on the area's volcanoes and glaciers.

See More Scene

Location

In southern Iceland, west of the small town of Vik

Located in southern Iceland, the hotel is surrounded by rolling grassy meadows, with little else around for miles. The small town of Vik, a 10-minute drive away to the east, has a small cluster of hotels along with a few restaurants and shops. It's close to some of Iceland’s more remote natural wonders, including glaciers, volcanoes, black-sand beaches, and hot springs. Mt. Reynisfjall is just a seven-minute drive, where guests can hike numerous trails and observe puffins and other abundant birdlife. The seafront Dyrhólaey nature reserve is a 12-minute drive south, while the Skógarfoss waterfalls are west along the coast about 17 minutes away. Reykjavik is just over two hours away by car. Expect just under a three-hour drive to Keflavik International Airport (KEF). 

See More Location

Rooms

Casual rooms with natural native materials and private bathrooms

Each of the seven rooms has a simple decor that's elevated by the use of natural materials from the region. The wood floors are made from native beech trees, and the striking black stone flooring is made made from volcanic material taken from the area's black-sand beaches. Small desk tables are accompanied by a pair of chairs, and the bedside tables are crafted from local driftwood. Flat-screen TVs come standard, along with free Wi-Fi. One upgraded Superior Double Room has a private entrance with its own patio, and there are a few Family Rooms with sofa beds. All have private bathrooms with black-sand floors and small walk-in showers. Note that water tends to spill outside of the swinging glass doors or flimsy shower curtains that form the shower enclosure. 

See More Rooms

Features

Guided jeep and hiking tours, lounge with a small bar, and free breakfast

The owners of this bed-and-breakfast run their own licensed touring company, which offers guided excursions throughout the area. Jeep tours into the interior and guided hikes to nearby glaciers can be arranged on-site. Daily breakfast includes a variety of breads, eggs, waffles, fresh fruit, and vegetables, along with juice, coffee, and tea. There's a small bar in the combination TV lounge/breakfast room, with a selection of wine and Icelandic Viking beer. There's no full restaurant, but fixed menu dinners (featuring seasonal local fare like arctic char) can be arranged if booked ahead of time. 

See More Features

Best Rates

Amenities

  • Babysitting Services

  • Balcony / Terrace / Patio

  • Cabanas

  • Cable

  • Internet

  • Kids Allowed

  • Laundry

  • Meeting / Conference Rooms

  • Separate Bedroom / Living Room Space

Disclaimer: This content was accurate at the time the hotel was reviewed. Please check our partner sites when booking to verify that details are still correct.