Cost of Living in Iceland - Updated Prices & Insights

Name: Iceland
Address: IS

Solo nomad: Estimated monthly costs are $1,687 (excluding rent), and $3,801 including rent.

Family of 3: Estimated monthly costs are $4,224 (excluding rent), and $6,987 including rent.

Meal at Budget Restaurant

$26.21 ISK 3,295

$15.09 ISK 1,897

$47.66 ISK 5,991

Three-Course Dinner for Two, Mid-Range

$128 ISK 16.1K

$88.2 ISK 11.1K

$241 ISK 30.2K

Fast Food Meal (McDonalds, etc)

$20.40 ISK 2,565

$18.77 ISK 2,359

$26.93 ISK 3,386

Cappuccino

$5.86 ISK 736

$3.64 ISK 458

$7.49 ISK 941

Coke/Pepsi/Fanta/Sprite (0.33 liter bottle)

$3.35 ISK 421

$2.46 ISK 309

$4.12 ISK 517

Water (0.33 liter bottle)

$2.58 ISK 324

$1.97 ISK 248

$3.86 ISK 486

Local Beer (0.5 liter draught)

$11.91 ISK 1,497

$7.95 ISK 999

$14.30 ISK 1,798

Imported Beer (0.33 liter bottle)

$10.41 ISK 1,308

$8.01 ISK 1,007

$14.41 ISK 1,812

Milk (1 liter)

$1.87 ISK 236

$1.62 ISK 203

$2.77 ISK 348

White Bread (500g)

$4.01 ISK 504

$2.16 ISK 271

$7.84 ISK 986

Rice (white) (1kg)

$3.49 ISK 439

$2.30 ISK 289

$6.21 ISK 781

Eggs

$6.50 ISK 817

$4.87 ISK 613

$8.78 ISK 1,103

Local Cheese (1kg)

$18.80 ISK 2,364

$11.46 ISK 1,441

$24.57 ISK 3,089

Chicken Fillets (1kg)

$24.54 ISK 3,085

$12.15 ISK 1,528

$30.00 ISK 3,771

Beef Round Steak (1kg)

$42.86 ISK 5,388

$23.97 ISK 3,013

$56.4 ISK 7,085

Apples (1kg)

$3.05 ISK 383

$2.12 ISK 266

$4.72 ISK 594

Banana (1kg)

$2.45 ISK 308

$2.20 ISK 276

$4.40 ISK 553

Oranges (1kg)

$2.93 ISK 368

$2.23 ISK 281

$4.87 ISK 612

Tomato (1kg)

$4.91 ISK 617

$3.41 ISK 429

$7.13 ISK 896

Potato (1kg)

$3.51 ISK 441

$2.16 ISK 272

$4.40 ISK 553

Onion (1kg)

$2.21 ISK 278

$1.58 ISK 198

$4.14 ISK 521

Lettuce (1 head)

$3.21 ISK 404

$1.85 ISK 233

$4.93 ISK 620

Water (1.5 liter bottle)

$2.18 ISK 274

$1.32 ISK 166

$3.52 ISK 443

Cigarettes 20 Pack (Marlboro, Camel)

$14.47 ISK 1,819

$12.26 ISK 1,541

$15.46 ISK 1,943

Wine (Bottle)

$23.94 ISK 3,010

$16.24 ISK 2,041

$36.52 ISK 4,591

Local Beer (0.5 liter bottle)

$3.67 ISK 461

$3.13 ISK 394

$4.81 ISK 604

Imported Beer (0.33 liter bottle)

$3.18 ISK 400

$2.04 ISK 257

$4.17 ISK 524

One-way Ticket (Public Transport)

$5.34 ISK 671

$4.60 ISK 578

$5.42 ISK 681

Public Transport Monthly Pass (Regular Price)

$83.1 ISK 10.4K

$73.9 ISK 9,292

$87.4 ISK 11.0K

Taxi Start (Normal Tariff)

$6.46 ISK 812

$5.97 ISK 750

$8.18 ISK 1,028

Taxi (Normal Tariff) (1km)

$2.38 ISK 299

$2.21 ISK 277

$3.52 ISK 443

Taxi 1hour Waiting (Normal Tariff)

$86.7 ISK 10.9K

$80.1 ISK 10.1K

$97.1 ISK 12.2K

Gasoline (1 liter)

$2.57 ISK 323

$2.42 ISK 305

$2.65 ISK 333

Midsize Hatchback 1.4l (Volkswagen Golf, Toyota Prius, Honda Civic, etc)

$46.4K ISK 5.8M

$43.3K ISK 5.4M

$48.8K ISK 6.1M

Compact Sedan 1.6l (Toyota Corolla, Mazda3, Kia K4, Hyundai Elantra, etc)

$53.9K ISK 6.8M

$50.1K ISK 6.3M

$56.6K ISK 7.1M

Utilities for 2 People in 2-bedroom Apartment (Heating, Electricity, Gas, Water, Garbage) (85m2)

$88.7 ISK 11.1K

$63.2 ISK 7,941

$190 ISK 23.9K

SIM Card Monthly Plan (Calls and 10GB+ Data)

$27.68 ISK 3,479

$20.17 ISK 2,535

$40.34 ISK 5,071

Internet (50+ Mbps, Unlimited Data)

$86.6 ISK 10.9K

$60.3 ISK 7,585

$129 ISK 16.2K

Gym Membership (Monthly)

$80.8 ISK 10.2K

$62.4 ISK 7,842

$118 ISK 14.9K

Tennis Court (1 Hour on Weekend)

$37.16 ISK 4,672

$16.73 ISK 2,103

$59.7 ISK 7,509

Cinema Ticket

$17.57 ISK 2,209

$14.45 ISK 1,816

$19.26 ISK 2,421

Preschool or Kindergarten, Full Day, Private, 1 Child (Monthly)

$351 ISK 44.1K

$282 ISK 35.4K

$472 ISK 59.3K

International Primary School, 1 Child (Yearly)

$29.8K ISK 3.7M

Jeans (Levis 501 Or Similar)

$140 ISK 17.6K

$81.4 ISK 10.2K

$187 ISK 23.5K

Summer Dress (H&M, Zara, etc)

$63.8 ISK 8,019

$40.29 ISK 5,065

$105 ISK 13.2K

Sport Shoes (Adidas, Nike)

$176 ISK 22.1K

$122 ISK 15.3K

$243 ISK 30.6K

Men's Leather Business Shoes

$258 ISK 32.4K

$147 ISK 18.5K

$327 ISK 41.1K

1-bedroom Apartment, City Center (Monthly)

$2,242 ISK 281.8K

$1,794 ISK 225.5K

$2,772 ISK 348.5K

1-bedroom Apartment, Outside City Center (Monthly)

$2,009 ISK 252.6K

$1,618 ISK 203.4K

$2,427 ISK 305.1K

3-bedroom Apartment, City Center (Monthly)

$3,203 ISK 402.6K

$2,845 ISK 357.7K

$4,065 ISK 511.0K

3-bedroom Apartment, Outside City Center (Monthly)

$2,724 ISK 342.4K

$2,417 ISK 303.8K

$3,223 ISK 405.1K

Buy Apartment in City Center (m2)

$7,357 ISK 924.8K

$6,294 ISK 791.2K

$8,654 ISK 1.1M

Buy Apartment Outside City Center (m2)

$6,206 ISK 780.1K

$5,236 ISK 658.2K

$7,250 ISK 911.4K

Average Monthly Net Salary (After Tax)

$4,469 ISK 561.9K

20-Year Fixed Mortgage Interest Rate (Annual %)

9.88

CityCost data is based on AI and user input – minor inaccuracies may occur.

Last update: January 20, 2026

By City in Iceland

Lowest

Highest

Rank	City	Population	Living Index	Solo costs (no rent) / month	Solo costs (with rent) / month	Family of 3 costs (no rent) / month	Family of 3 costs (with rent) / month	Mobile download speed (Mbps)	Internet download speed (Mbps)
1	Akranes	7800	176	$1,663	$3,460	$4,480	$7,824	230.95	414.46
2	Akureyri	-		$1,033	$2,888	$2,606	$4,934	14.83	330.04
3	Bakkafjordur	100		$225	$247	$663	$603	100.88	409.28
4	Blonduos	900	81	$1,585	$1,586	$4,295	$4,102	151.65	403.21
5	Bolungarvik	900						36.5	475.06
6	Drangsnes	100	81	$1,369	$1,603	$3,923	$4,076	112.99	229.47
7	Egilsstadir	2500		$601	$614	$1,235	$1,426	42.38	210.71
8	Grundarfjordur	800	81	$1,298	$1,598	$4,136	$4,083	111.37	142.69
9	Hafnarfjordur	31525	186	$1,593	$3,693	$4,531	$6,905	138.01	409.09
10	Hallormsstadur	-						138.53	210.71
11	Hella	900	81	$1,394	$1,621	$4,354	$4,033	94.76	255.81
12	Husavik	2300						18.17	148.73
13	Hverageroi	-	81	$1,510	$1,595	$4,000	$3,999	-	-
14	Isafjordur	2600						39.91	389.45
15	Keflavik	15000	144	$1,517	$2,888	$4,247	$5,911	92.08	316.1
16	Kirkjubaejarklaustur	500	81	$1,615	$1,608	$4,490	$3,997	19.28	131.02
17	Kopavogur	39335	87	$1,507	$1,741	$3,660	$3,994	139.78	365.74
18	Njardvik	6000	154	$1,667	$3,116	$3,180	$6,580	11.52	316.1
19	Reykjahlid	300		$162	$176	$304	$337	60.61	290.19
20	Reykjavik	136894	192	$1,682	$3,810	$4,433	$7,293	74.64	371.14
21	Selfoss	9000		$584	$3,576	$1,381	$1,401	46.67	429.82

Digital Nomad Cost of Living Index

Cost of Living in Iceland - Frequently Asked Questions

Iceland tends to be more expensive than many popular destinations, but the value shows up in safety, reliability, and access to stunning landscapes. Cost of Living in Iceland reflects a balance between high import costs and strong social services, good healthcare, and robust internet. For travelers on short trips, the price tag can feel premium, but long stays for expats and digital nomads pay off with quality infrastructure, reliable transport, and a thriving, safe environment. Community, nature, and wellness options add intangible value that’s hard to quantify. Plan around seasonal swings and look beyond Reykjavik to more affordable rural towns. Tip: Map your priorities and build a two-tier budget that covers housing first, then experiences.

Expect a housing search that rewards longer commitments and proximity to services; in Reykjavik and the surrounding towns, you’ll find a mix of compact apartments and houses, with central-area rents often higher. Groceries lean on dairy, seafood, and seasonal produce; cooking at home stays economical relative to dining out, and markets appear in many neighborhoods. Transport is reliable in cities with buses and bikes and convenient domestic flights for longer hops; in rural areas, a car or coordinated shuttle helps. Co-working spaces are common in city centers, making it easy to work remotely. Iceland living cost aside, plan for seasonal shifts in demand and weather. Tip: test your daily routes during rush hour and choose a neighborhood that minimizes long commutes.

Quality of life in Iceland shines with safety, nature access, and a calm pace of life that suits outdoor lovers and remote workers. Build a budgeting framework around housing, groceries, transport, and occasional experiences, then set flexible limits for dining out or weekend trips. Seasonal variations affect income and expenses in practice, with more daylight in summer creating longer outdoor windows and harsher travel crowds in peak seasons; choose neighborhoods that balance easy commutes with access to nature. Save by cooking at home, buying seasonal produce, and using public transport or shared rides. Tip: pick a base town with good flight access and varied services, then reserve time for weekend explorations.