Economy & City Car Rentals in Iceland

While small in size, our Economy and City Car rentals offer excellent performance at a reduced price. A perfect choice for short trips around Reykjavík or even the Ring Road if the weather is good. Driving around Iceland has never been easier!

Our Fleet

Hyundai i10 rental in Iceland

Hyundai i10 (manual)

  • Manual
  • Doors:4
  • Passengers:4
  • Suitcases:2
  • F-Roads:FWD
  • Model:2021
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Toyota Aygo rental in Iceland

Toyota Aygo (manual)

  • manual
  • Doors:5
  • Passengers:4
  • Suitcases:1
  • F-Roads:FWD
  • Model:2019-2022
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Hyundai i10 rental in Iceland

Hyundai i10 (automatic)

  • Automatic
  • Doors:4
  • Passengers:4
  • Suitcases:2
  • F-Roads:FWD
  • Model:2021
Book Now
Toyota Aygo rental in Iceland

Toyota Aygo (automatic)

  • automatic
  • Doors:5
  • Passengers:4
  • Suitcases:1
  • F-Roads:FWD
  • Model:2019-2022
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Kia Rio rental in Iceland

Kia Rio (manual)

  • manual
  • Doors:5
  • Passengers:5
  • Suitcases:2
  • F-Roads:FWD
  • Model:2017-2022
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Suzuki Swift rental in Iceland

Suzuki Swift (automatic)

  • automatic
  • Doors:5
  • Passengers:5
  • Suitcases:2
  • F-Roads:FWD
  • Model:2019-2022
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Kia Ceed rental in Iceland

Kia Ceed (manual)

  • manual
  • Doors:5
  • Passengers:5
  • Suitcases:3
  • F-Roads:FWD
  • Model:2021-2022
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Hyundai i30 rental in Iceland

Hyundai i30 (manual)

  • Manual
  • Doors:4
  • Passengers:5
  • Suitcases:3
  • F-Roads:FWD
  • Model:2021
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Mazda CX-30 rental in Iceland

Mazda CX-30 (automatic)

  • Automatic
  • Doors:5
  • Passengers:5
  • Suitcases:2
  • F-Roads:FWD
  • Model:2018-2021
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Kia Ceed Sportswagon rental in Iceland

Kia Ceed Sportswagon (manual)

  • Manual
  • Doors:5
  • Passengers:5
  • Suitcases:4
  • F-Roads:FWD
  • Model:2018-2021
Book Now
Kia Niro Hybrid rental in Iceland

Kia Niro Hybrid (automatic)

  • automatic
  • Doors:5
  • Passengers:5
  • Suitcases:2
  • F-Roads:FWD
  • Model:2021-2022
Book Now

BEST ECONOMY & CITY CAR RENTAL BRANDS IN ICELAND

NOT LOOKING FOR ECONOMY & CITY CAR RENTALS IN ICELAND? CHECK OUT OUR OTHER RENTAL CATEGORIES!

Frequently Asked Questions

Got questions? You’re in luck! We’ve already provided answers to the most common questions regarding car rentals in Iceland.

The economy or city car category includes 2-wheel-drive vehicles that are smaller in size and lower in price. They usually comfortably hold up to 4 passengers and in most cases only have room for one large suitcase and a few smaller bags. In terms of transmission, you can find both manual and automatic.

The cheapest way to book your city car rental in Iceland is online! You’ll be able to go through the T&C on your own time, make sure your chosen vehicle is available and get the best price on the market!

Renting a city car in Iceland for 1 week will cost you around $243 ($35 per day), depending on the season and the vehicle choice. Thinking of going off the beaten track? Check out our Standard SUV & 4x4 rentals!

It depends on what type of trip you have planned and what areas you want to visit. Economy cars are perfect for driving around Reykjavik, Keflavik and their surroundings all year round; however, if you want to go farther and drive around Iceland during winter, we recommend hiring a 4x4 vehicle.

No, city cars are unsuitable for dirt tracks and F-roads. A 4x4 vehicle is compulsory in order to drive on these lanes and not complying with regulations can lead to big fines or even imprisonment.

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COMPACT, SUBCOMPACT, SEDAN AND ECONOMY & CITY CARS. WHAT’S THE DIFFERENCE?

As you may find a mix of the following terms on our website, at Reykjavik Cars we want to make this process as straightforward as possible, so coming up is a detailed explanation of each one:

  • Sedan: any rental vehicle with the engine, passengers, and cargo separated into 3 different compartments.

  • Economy & City Cars: small sedan ideal for driving around Reykjavik, Keflavik, and other urban areas. They usually have 2 doors and seat up to 4 adults. An excellent choice for young couples and families on a budget.
     
  • Compact: Slightly larger than economy cars, this sedan is ideal for discovering the cities of the Land of Fire and Ice. They typically have 4 doors and seat up to 5 adults. A great choice for day trips and touring the island as a family.

  • Subcompact: small sedan similar in size to economy & city car rentals, but not as big or safe as compact cars and not as efficient in terms of fuel consumption.

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WHY RENT AN ECONOMY CAR IN ICELAND?

 

  • Limited Public Transport. Iceland’s road network is second to none and public transport is limited to the main cities, which makes it just perfect for hiring an economy car rental. Prepare your travel itinerary, set your destination and cruise down the Diamond Circle in your city car rental!

  • Stick to your budget. Economy car rentals in Iceland are the most affordable way to discover the Land of Fire and Ice. Get behind the wheel of one of our city cars for as little as $51 per day. If you want to spend more on your Iceland vacation and less on your car rental, this is the right small car hire for you!

  • Go where you want, when you want. There is so much to see and so many places to visit in Iceland that, even without venturing down the F-roads, you’ll still be in for the adventure of a lifetime. Tours and day trips are great, but they are also costly. Go where you please with your own small economy & city car rental!
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RENTING ECONOMY & CITY CARS IN ICELAND WITH REYKJAVIK CARS

 

  • Industry Experts: Everything started in 2013! We’ve been growing and evolving ever since, giving our customers the best tips and advice to discover Iceland.

  • Massive Vehicle Fleet: Year in and year out, at Reykjavik Cars our economy car vehicle fleet continues to grow with the best nippy and affordable city cars on the market.

  • The Best Prices: We guarantee the best prices and the highest level of reliability. How? By only working with the most trustworthy local economy car rental companies in Iceland.

  • Exceptional Customer Service: Our customer service team knows everything there is to know about Iceland and has been trained to deal with any inconvenience that may arise. Our personalized attention and fast response times (30 mins on average) is reflected in our high Google rating!

  • Airport Shuttle Bus: Collecting your city car rental in Iceland has never been easier! We provide FREE pick up from Keflavik Airport (or your hotel) to our offices; as well as drop off, in time to catch your plane at the end of your trip!
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MOST POPULAR ECONOMY & CITY CAR RENTALS IN ICELAND

Trying to choose which economy car rental to take on your Iceland road trip? This list of our most popular rentals will help you decide:

  • The budget keeper. Keep the costs down and the fun up with our cheapest car rental brand: the Hyundai. Zoom around Reykjavik in style in the nippy Hyundai i10!

  • The comfort champion. Want to drive around the Ring Road at your own pace? KIA is all about comfort, every step of the way. Jump into the KIA Rio and enjoy every second of your road trip around the Land of Fire and Ice!

  • The heartbreaker. The most demanded economy & city car rental brand in Iceland is Toyota. Why not hire the small yet stylish Toyota Aygo and see for yourself what all the fuss is about?!

DO’S AND DON’TS OF RENTING A SMALL CAR IN ICELAND

If you’re thinking about journeying to the more inaccessible points of the island, such as the Icelandic Highlands, you’ll need a 4WD vehicle. DO NOT attempt driving on the F-roads unless you decide to hire a 4x4 vehicle, the weather is good and they are officially open. Cutting across the countryside is also illegal and punishable, so whatever you do, stick to the main roads.

Finally, to make sure everything runs smoothly and your trip has a happy ending, keep your lights and seatbelt on at all times, and only use your phone if you have a hands-free kit!

You’re now more than ready to begin your Iceland road trip, so rev up the engine and hit the gas!

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UPGRADE YOUR COMPACT CAR RENTAL: CHOOSE YOUR EXTRAS!

Having the right equipment while on your Iceland road trip makes all the difference. At Reykjavik Cars we have all the essential extras you might need during your trip.

Not sure what to add to your city car rental in Iceland? We’re already throwing in a FREE Fuel Discount Key and Unlimited Miles to get you started! Now take a look at our customers’ TOP 3 extras to help you decide!

  • Extra Driver: Iceland has so many hidden treasures to explore that sitting behind the wheel all day can be tiring. That need not be an issue! Just add an extra driver to your insurance policy, take turns in the pilot seat of your economy car rental and cruise the island in comfort.

  • Platinum Insurance: The last thing you want when you are on holiday is to worry about repairs and expenses for your economy car rental in Reykjavik, right? Our Platinum insurance package is zero liability and includes CDW, SCDW, GP, TP and SAAP coverage, giving you peace of mind from day one!

  • Garmin GPS: Getting lost during your Iceland road trip means wasting time and missing out on one of the stops you had included in your travel itinerary. For that reason alone we recommend renting the Garmin GPS, a top-of-the-range navigation system that will guide you to every destination!
Contact Us

Would you like more information about our car hiring services? Drop us a line and we’ll get back to you in less than 24 hours (usually minutes!).