Why is renting a car so expensive in Iceland?
I have booked a flight to Iceland. We (me and three friends) have planned to travel through Iceland by car. However, I'm shocked by the prices.
In the Netherlands, at companies like Europcar and Hertz, I can rent a decent car for €350,- for ten days. In Iceland the same companies charge me €1100,- for ten days for the same type of cars. This is almost three times the price!
I do not understand why the difference in price is so big? Am I missing something? I have checked multiple companies now (Hertz, Europcar, City Car Rental, Sixt) but all their prices seem comparably expensive.
I case someone has tips for where to search for a cheap car. I'm looking for a simple car that fits four people and some baggage for 9-10 days. Pick-up and drop off location in Reykjavik.
Best Answer
Tips to rent for cheaper
Last time I went I rented with SADCars. Compared to North American prices I still found it expensive, not to mention the horrifying price of gas (2.5CAD/L), but a much more palatable alternative to the more established companies.
They rent some old cars with high mileage, some not very pretty, but mine did about 2000km without problems.
I also met a couple of Germans who had ferried their own car from the continent to Seyðisfjörður and travelled with it there. Whether or not that's cheaper than renting locally would depend on the length of your trip. Check Smyril Line prices for ferrying a car from Denmark to Iceland.
Pictures about "Why is renting a car so expensive in Iceland?"
Is renting a car in Iceland worth it?
It really is worth the extra effort to rent a car and drive yourself! Regardless of which vehicle or road you choose, one thing's for sure \u2014 renting a car in Iceland gives you the freedom to set your own path and reach stunning locations off-limits to the typical bus tourist.Are cars expensive to buy in Iceland?
Renting a car for a week in Iceland over the summer can cost hundreds of thousands of kr\xf3nur. The cheapest cars cost more than ISK 100,000 (USD 807, EUR 631) per week.Is a car necessary in Iceland?
It's actually completely possible to see Iceland without a car \u2014 and we're not just talking about Reykjav\xedk city. The gorgeous Golden Circle route, and the iconic sights along the South Coast are easily doable with day trips out of the city. You'll even be able to walk on a glacier and pet adorable Icelandic horses!Is it difficult to drive in Iceland?
Driving in Iceland really isn't scary or difficult and it is actually one of the more enjoyable countries to travel in! Before you hit the road, make sure you have enough gas and program your GPS so you don't get lost!Iceland Travel Tips - Renting a Car in Iceland
More answers regarding why is renting a car so expensive in Iceland?
Answer 2
I believe Iceland has the most road (by length) per person meaning a little money has to go a long way in maintenance. And priority will be given to those roads that are totally impassable rather than just poorly maintained. Whilst technically being a road quite a bit of it is gravel track and full of pot holes. This will increase wear and tear on a car massively.
The main tourist season is also only a couple of months long so they don't have long each year in which to recoup costs.
The number of new cars bought each year in Iceland will be relatively small compared to a more populous country so there won't be the same savings due to volume shipping used in other countries.
Sources: Stack Exchange - This article follows the attribution requirements of Stack Exchange and is licensed under CC BY-SA 3.0.
Images: Piotr Arnoldes, Ibrahim Bilgin, Ishan Kulshrestha, Ishan Kulshrestha