The Best Luxury Accommodations In Iceland

Few destinations on Earth rival the raw beauty of Iceland. This land of fire and ice is a place where glaciers meet black sand beaches, where geysers erupt with clockwork precision, and where the northern lights dance across the winter sky.

Whether visiting in winter to witness the aurora shimmering above the landscape or in summer to experience the midnight sun, Iceland offers an enchanting escape year-round.

The best luxury accommodations in Iceland range from beautiful hotels and remote lodges to exclusive private villas that offer the highest level of comfort and personalized service.

Here, we share some of our preferred properties, ideal for your next journey to this spectacular region of the world.

Deplar Farm: A Remote Arctic Luxury Lodge

Nestled deep within the rugged landscapes of Northern Iceland, Deplar Farm offers the ultimate luxury escape in a secluded Arctic wilderness.

This stunning property, once a sheep farm, has been transformed into a world-class retreat surrounded by Iceland’s raw natural beauty. Its breathtaking settings offer something unique in both summer and winter, and the lodge makes the perfect base for both adventure and tranquility.

Boasting sweeping mountain views, this property is a testament to Icelandic craftsmanship combined with contemporary elegance. Spacious open-concept living areas are bathed in natural light, while the lodge’s luxurious spa and infinity pool invite you to relax and recharge. Each detail has been curated to create an atmosphere of refined comfort, from the warm textures of the interiors to the spectacular scenery that surrounds the estate.

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Unwind in the spa, indulge in private culinary experiences, or embark on exclusive excursions like snowmobiling across glaciers, heli-skiing in surreal environments, or horseback riding on original Nordic horses through the Fljót Valley.

Reykjavik EDITION: A Modern Hotel

The Reykjavik EDITION redefines luxury in Iceland’s capital, offering a sophisticated and contemporary escape in the heart of Reykjavik.

The hotel’s beautifully appointed rooms and suites blend modern elegance with Icelandic charm, featuring floor-to-ceiling windows that provide breathtaking views of the city and surrounding landscapes.

Here, you can unwind at the hotel’s exclusive spa, dine at the refined restaurant offering a locally inspired menu, or enjoy cocktails in the chic lobby bar.

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With its prime location, The Reykjavik EDITION also provides easy access to the region’s cultural attractions and natural wonders, while creating a peaceful sanctuary for relaxation after a day of exploration.

Enjoy a walking tour of the nearby historic center, head into the Thingvellir National Park for a unique snorkeling excursion, explore the highlights of the iconic Golden Circle, and visit nearby natural wonders like the Sólheimajökull Glacier, Eyjafjallajökull volcano, and the Skogafoss waterfall.

Hotel Rangá: A Rustic Luxury Lodge

Set amidst the wild beauty of Southern Iceland, Hotel Rangá is a luxury countryside retreat renowned for its rustic charm, gourmet dining, exceptional stargazing, and stunning landscapes.

This log-style lodge combines rustic charm with upscale comfort, offering a serene escape just a short drive from Iceland’s most iconic natural wonders.

Each room and suite is individually themed, drawing inspiration from different continents, and outfitted with cozy furnishings, high-end amenities, and sweeping views of the surrounding landscapes. Whether you’re soaking in the outdoor hot tubs or relaxing by the fireplace, the hotel provides a peaceful and romantic setting year-round.

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A highlight of the property is its on-site observatory, where expert astronomers guide guests through unforgettable stargazing sessions. During the winter months, it’s one of the best places in Iceland to witness the northern lights in comfort and style.

With personalized service, a renowned restaurant serving locally inspired cuisine, and access to private excursions ranging from glacier hiking to Super Jeep adventures, Hotel Rangá offers a perfect blend of adventure and relaxation in one of Iceland’s most captivating regions.

Private Villas: Secluded Luxury Across Iceland

If you’re seeking ultimate privacy and personalized service, Iceland offers an exclusive collection of luxury private villas, each thoughtfully designed to immerse you in the country’s extraordinary natural beauty.

Our handpicked villas are located across some of Iceland’s most spectacular regions — from serene lakeshores near the Golden Circle to secluded geothermal landscapes and sweeping coastal vistas. Whether you envision a rustic-chic countryside retreat or a sleek modern residence framed by floor-to-ceiling windows, each villa offers an atmosphere of warmth, sophistication, and unparalleled comfort.

Amenities vary across properties and can include private geothermal hot tubs, expansive decks perfect for soaking in the midnight sun or northern lights, cozy fireplaces, entertainment areas, and spacious open-plan living spaces ideal for gatherings.

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Villas are fully staffed, including private chefs who craft bespoke menus featuring fresh Icelandic ingredients tailored to your tastes.

Ideal for couples, families, or groups of friends, our recommended private villas serve as the perfect base for unforgettable adventures — from glacier hiking and snorkeling between tectonic plates to private zodiac tours of glacier lagoons and helicopter expeditions along Iceland’s remote southern coast.

The Retreat at Blue Lagoon: A Wellness Sanctuary

Tucked into the ethereal lava fields of the Reykjanes Peninsula, The Retreat at Blue Lagoon offers one of Iceland’s most exclusive and transformative luxury experiences.

This award-winning hotel is a masterpiece of design that blends into the surrounding volcanic landscape while offering the highest levels of comfort, service, and privacy.

Each suite at The Retreat features sleek, minimalist interiors inspired by Iceland’s natural elements, with floor-to-ceiling windows that frame the surreal blue waters and moss-covered lava fields.

Here, you can enjoy exclusive access to the Retreat Lagoon — a secluded extension of the famed Blue Lagoon that winds deep under an 800-year-old lava flow — offering a serene and private alternative to the main lagoon.

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Spend a full day unwinding at the property’s world-renowned subterranean spa, where centuries-old volcanic minerals fuel deeply rejuvenating treatments. Take a dip in the mineral-rich waters, abundant in silica, algae, and mineral salts, known for stimulating circulation while nourishing and moisturizing the skin.

Savor Michelin-recommended dining at Moss Restaurant, enjoy private yoga sessions overlooking the lava plains, or simply drift through the geothermal waters while surrounded by Iceland’s otherworldly landscape.

Luxury Accommodations In Iceland

Blue Parallel’s luxury tours to Iceland go beyond the accommodations; we’ll also organize insider experiences and activities that allow you to connect deeply with the Icelandic landscape and culture.

For more information on our bespoke luxury tours to Iceland, contact one of our travel experts today.