Why Renting a Car or Camper in Iceland is the Travel Trend Everyone's Talking About in 2025

Iceland is undoubtedly a bucket-list destination in 2025. With dramatic landscapes, from cascading waterfalls and glacial lagoons to volcanic craters and black sand beaches, it offers an unparalleled travel experience.

Beyond its breathtaking landscapes, Iceland is uniquely suited for road trips—offering a seamless blend of adventure, accessibility, and remote escapes. With well-maintained highways, breathtaking Ring Road views, and countless hidden gems, renting a vehicle is not just an option; it's the best way to experience Iceland.

If you're planning an Iceland road trip, this article will help you decide whether to go for car hire in Iceland or to rent a camper in Iceland for the ultimate adventure.

Why Renting a Vehicle in Iceland is Trending

Iceland's beauty is best appreciated at your own pace, making a rental vehicle the ideal choice. Visitors love the ability to explore hidden gems off the beaten track, chase the Northern Lights, or stop at stunning viewpoints without being tied to a strict tour schedule.

The numbers don't lie—searches for self-drive, car hire, and camper van rental in Iceland have surged in 2025, proving that road trips remain the top travel choice this year.

With unbeatable flexibility and cost savings, campers are becoming the top choice for self-drive travellers. Ready for your adventure? Rent yours now with Camper Rental Iceland and start exploring!

Car vs. Camper: Which is Right for You?

Renting a Car in Iceland

Advantages:

• Comfort and ease of driving, especially on paved roads.
• It is more suited for urban exploration, including Reykjavik and smaller towns.
• It is ideal for short trips or travellers who prefer staying in hotels.

Best for:

• Visitors who plan to stay in accommodations rather than camp.
• Those who prefer a more effortless driving experience with fewer logistical concerns.
• Anyone focusing on Reykjavik, the Golden Circle, or other short itineraries.

Renting a Camper in Iceland

Advantages:

• Combines transport and accommodation, reducing lodging costs.
• It offers the freedom to explore remote areas, including f-roads and highlands.
• Provides an immersive, off-the-grid experience in Iceland's rugged wilderness.

Best for:

• Adventurous travellers keen on long-distance road trips.
• Budget-conscious visitors who want to save on hotel stays.
• Those looking for an authentic, nature-focused travel experience.

Practical Tips

• Know your routes: While the Ring Road is well-paved, specific regions, such as the Highlands, require a 4x4. Before setting off, check Iceland's official road conditions map to ensure safe travel.
• Consider the season: Winter driving can be challenging, while summer offers smoother conditions.
• Insurance matters: Iceland's weather is unpredictable, so always opt for coverage to stay protected.
• Iceland on a Budget: ISK to USD and Cost Breakdown

Renting a vehicle is an investment, but careful planning can help you keep costs under control.

• Car rental in Iceland: Prices range from £17-£125 ($21-$150) per day, depending on the vehicle type.
• Camper rental in Iceland: Expect to pay around £45-£208 ($53-$250) per day, but you'll save on accommodation.
• Fuel costs: Petrol prices fluctuate but are typically higher than in mainland Europe and North America.
• Accommodation vs. camping: Hotels can cost £125+ ($150+) per night, whereas campsites range from £8-£25 ($10-$30) per night per person.

Money-Saving Tips

• Compare ISK to USD to track price trends before booking.
• Opt for fuel-efficient vehicles to save on petrol.
• Use designated camping sites rather than expensive hotels.

One thing is certain whether you choose a car or a camper: Iceland is best explored on your own terms. Start planning your dream road trip today.