Keflavik City Car Hire

Rent a car in Keflavík center and have Iceland's southwestern Reykjanes peninsula at your disposal from the start. With 3 rental companies in town, there's a good selection of vehicles, and you'll avoid the higher prices often charged directly at the airport 5 km away. Keflavík is a vibrant port town with quick access to both Reykjavík and natural attractions.

Keflavík center is located on the Reykjanes peninsula, approximately 50 km southwest of Reykjavík via Ring Road. From here it's just 20 minutes to Blue Lagoon (Bláa lónið) and about 15 km to the geothermal area of Reykjanes with active volcanoes and lava fields still being formed. Rent the car in town instead of at the airport and often save 10–20% – take a taxi or the Flybus shuttle 5 km to the airport.

Refuel in Keflavík before heading toward the more remote parts of the Reykjanes peninsula, as gas stations become sparse quickly. Check road conditions on road.is – the peninsula is subject to strong winds that can close roads. How do I get from Keflavík airport to the center to pick up the car?

The Flybus shuttle stops in Keflavík center; alternatively, a taxi takes about 10 minutes and costs approximately 2,000–2,500 ISK. Many rental companies also offer airport transfers. Can I visit Blue Lagoon directly from Keflavík center?

Yes, Blue Lagoon is about 20 km northeast of Keflavík and takes approximately 20 minutes to drive. Book entrance tickets in advance – they sell out early, especially in summer. Are the roads on the Reykjanes peninsula suitable for regular cars?

Most main roads on the peninsula, including routes 41 and 43, are paved and suitable for all vehicles. However, avoid marked F-roads and always consult with the rental company if unsure.

We compare prices from all major providers at Center so you can see the total cost upfront — including insurance, fuel terms and any extras. Most bookings include free cancellation up to 48 hours before pickup, giving you flexibility if your plans change.