If Heaven could exist on Earth, then I reckon that the majestic Land of Fire and Ice is as close as we’ll get. Iceland is truly an amazing destination filled with everything from magnificent waterfalls and kaleidoscopic plains to spewing geysers, mineral-rich thermal springs and many more jaw-dropping sceneries. That’s not forgetting the ethereal Northern Lights too! An Iceland itinerary can be so diverse that one can be treated to pristine white glaciers on the same day as otherworldly lava fields. Even better, each season ushers in completely different but equally eye-catching vistas. I could continue drooling over Iceland for hours, but there are far too many reasons to fully explain why an Iceland campervan trip ought to be on every wanderluster’s bucket list.
While many people think that an Icelandic holiday will cost an arm and a leg, that is thankfully not the case. I absolutely fell in love with the country and all its gorgeous attractions during my 10-day trip in a cosy campervan. The best part? All of this was possible even on my meagre student’s budget! It is definitely possible to explore Iceland without burning a deep hole in your pocket. This article is all about how I planned an Iceland campervan trip on a small budget – and how you can do so too.

What’s in this Iceland guide:
Flights
Being students on a tight budget, it was crucial for us to find cheap flights to Iceland in order to stretch our budget for the remainder of the trip. This was easy to do with the help of the Skyscanner app! Its user-friendly interface made it extremely convenient for us to book Wizz Air flights to Reykjavik on the go. In fact, we actually booked the tickets whilst in class. But don’t tell anyone that!
By using unique app features like the colour coded calendar and the ‘Watch this flight’ function, we were able to easily compare prices between the countless airlines listed on Skyscanner. This made choosing cheap flights to Iceland a piece of cake.
Transport

Iceland has a plethora of campervan companies for you to choose from. These include Happy Campers, Go Campers, Campervan Iceland and Kuku Campers, amongst others. The rental prices are roughly similar across all the companies: 3-person campers start from around €90 (S$135) per day while 5-person campers start from €150 (S$226). If you’re in luck, they may also offer discounted rates! Owning a manual license is also preferable because there is a wider range of cars available and auto-driven cars are slightly more expensive. All vehicles come equipped with cooking utensils and mattresses but you can purchase add-ons like blankets and camping tables. We chose Kuku Campers because they provided the cheapest deal at the time, but were also dismayed to realise that they had an infamously strict insurance policy. So be sure to research on which company best suits your needs. In terms of getting around Iceland, petrol kiosks like N1 Gas Station sell prepaid cards to keep your gas tanks filled and engines running.
Vehicle insurance is an absolute must regardless of the rental company you choose. I recommend taking the most comprehensive package on offer. This usually costs between €30 to €40 (S$45 to S$60) per day and includes collision damage waiver and protection from sand, ash and gravel damage. The cost may be rather steep, but trust me, the insurance does come in handy. I was lucky to conclude my adventure relatively unscathed but others were less fortunate. Some friends encountered reckless drivers while others faced the wrath of mother nature. One group was horrified to see their car door become unhinged by perilously strong winds! Rental companies in Iceland are notorious for charging drivers without insurance exorbitant damage costs that can arise to €2000 (S$3013). So don’t be that poor unfortunate soul. As they say, it’s better to be safe than sorry.
Pro-tip: Always inspect your vehicle thoroughly after receiving the car keys and alert the rental company to any pre-existing damages. It is also not necessary to rent a GPS if you have data access to Google maps on your mobile devices.
Accommodation
Since you’ve already found a cosy portable home in your trusty campervan, accommodation is a piece of cake. However, as it is illegal to park vehicles at the attractions overnight, your next best bet is to find a campsite. But fret not because there are many campsites dotted across Iceland! For a reasonable fee of around 2000kr (S$22) per night, you can find safe harbour for the night and use their cooking and shower facilities. A warm shower is definitely the best way to start and end your day.
Pro tip: Most campsites are closed during the winter season (which begins in November) so it is important to plan your route to the remaining opened ones beforehand. Roads in the Iceland countryside are often dimly-lit so proper planning will ensure that you arrive safely before nightfall.
Food
Unfortunately for us thrifty travellers, it costs a bomb to patronise the local restaurants in Iceland. Food is expensive all around the country, especially in downtown Reykjavik along popular shopping streets like Skólavördustígur and Laugavegu. Meals will cost somewhere between S$20 to $30. In my only experience dining out, it was difficult to stomach the fact that my modest plate of fish & chips had set me back by a staggering S$27!

The most cost-efficient solution is to cook your own food. Campervans come equipped with cooking utensils but I highly recommend doing your cooking at the campsites instead. All campsites have kitchens, so it was far more convenient cooking and cleaning up there than inside a cramped, dimly-lit vehicle. So be certain to stock up on everyone’s favourite Asian staple beforehand – instant noodles. Granted, it’s not gourmet, but it was cheap, easy to cook, and just the comfort food we needed during those wintry nights.
It would also be wise to invest in some tidbits for the long drives ahead. One place to visit is the discount grocery store, Krónan, which is conveniently located just before the highway leading to the Ring Road. The hotdog stands situated near some attractions offer another cheap alternative (roughly 600kr or S$6.60 for a hotdog). If instant noodles become too bland, as they did for me towards the end of my trip, then the Ikea outlet in Reykjavik is your best bet. Besides, you can’t go wrong with Ikea meatballs, can you? Of course, after an entire trip’s worth of instant noodles, you deserve to treat yourself to some authentic Icelandic food. Just don’t expect to be feasting on gourmet food during every meal.
Pro tip: I suggest purchasing the instant noodles before your flight because they are not cheap in Iceland.
Activities in Iceland
Considering how vast Iceland is and the time needed to traverse between landmarks, an ideal adventure around the country should last between seven and twelve days. My ten-day trip was could sufficiently cover the western, southern and south-eastern parts of Iceland at a comfortable pace, but could not afford enough time to venture beyond them. Here are some must-see attractions and must-do activities that I highly recommend for any trip to Iceland! They are mostly free, except for some places that charge a small parking fee, and easily accessible via the Ring Road, which is the main national highway running around Iceland.
1. Marvel at the Northern Lights

Need I say more? A trip to Iceland is not complete until you include a successful hunt for the elusive Aurora Borealis. Literally out of this world, the Northern Lights have an incredible and awe-inspiring natural beauty that is second to none.
In order to optimise your hunt, check this website regularly for the Northern Lights forecast. I also recommend attaching a neutral-density (ND) filter to your camera in order to get clearer shots of those oh-so-spectacular dancing lights.
2. Visit Reynisfjara Beach

Nestled beside the cosy fishing village of Vík, Reynisfjara Beach is commonly regarded as one of the most beautiful and alluring beaches in Iceland. I mean, how often will you get to dig your heels into jet-black sand! Take a stroll along this coastline and you’ll find yourself sandwiched between sheer cliffs and mysterious hexagonal basalt columns on one side, and the crashing waves from the Atlantic Sea on the other.
It gets even better for Game of Thrones fans because Reynisfjara Beach was featured in season 7! But fair warning, it can get pretty windy so I’d advise leaving your sun hats in the car.
3. Hike through Skaftafell National Park

I vividly recall feeling literal goosebumps as our campervan approached Skaftafell and the gargantuan mountain range rolled into view. Exploring the snow-capped mountains, vast landscape and surreal glaciers was definitely the highlight of my trip.

Whether you prefer trekking, bird watching or glacier hiking, Skaftafell has adventures awaiting around every corner. Hiking trails are well marked to indicate the difficulty of each route. One of the shorter treks will guide you to the beautiful Svartifoss Waterfall and if you continue upward to Sjónarnípa, you will be treated to some fantastic views. We were lucky enough to get snowfall the night before our hike! Needless to say, plenty of snowball fights ensued along the way.
4. Be dazzled at Jökulárlórn and Diamond Beach

This gorgeous glacier lagoon is one of the island’s most treasured crown jewels. I was left completely awestruck by the immense electric blue icebergs coated in streaks of residue ash. Some were several stories tall! Jökulárlórn offers amazing views from every angle and is basically heaven for photography buffs. You can charter a boat ride out to explore this icy kingdom and if you’re lucky, you may even catch a glimpse of the lagoon’s resident seals.

Head down to Diamond Beach at dawn or dusk and you’ll know exactly why its namesake doesn’t disappoint. These ice blocks literally resemble shimmering diamonds basking under the warm golden sunlight. Don’t believe me? Go see for yourself! Both of these attractions are an absolute must-see when in Iceland and just a short drive eastward from Skaftafell National Park, so be sure not to miss them.
5. Unwind in a geothermal spring

After all that time spent cooped up in your campervan, a trip down to one of Iceland’s geothermal spas is the perfect way to unwind. But with so many to choose from, it can be pretty difficult to decide. Blue Lagoon is perhaps the most famous spot, but it is also very pricey (over S$100 per person) and frequently packed with tourists.
Thankfully, there are similar spas that offer better value for money. Secret Lagoon in Hverahólmi is one excellent alternative. This man-made hot spring is the oldest pool in the land and only costs 3000kr (S$33) each. A blissful soak in the mineral-rich waters will do a world of good for your cramped muscles. After all, they don’t call geothermal springs Iceland’s secret to happiness for no reason.
Note: Though not as busy as Blue Lagoon, Secret Lagoon also requires a pre-booking.
Budget for Iceland campervan trip
To sum it up, here’s a rough breakdown of the total budget I spent during my 10-day Iceland campervan trip.
Flight tickets: S$231, including taxes and fees. Note that my flights were from the UK, where I was studying abroad, instead of Singapore.
Campervan rental: S$1748 for a 9-day rental of a 3-seater auto-driven campervan. Includes insurance fees and the following add-ons: blankets, portable gas tanks, cleaning fee, Wifi and 4G router.
Petrol: S$275. Each prepaid card cost S$55. We stopped to refuel 5 times throughout the trip.
Campsites: S$176 for 8 nights. Campsites roughly charged between S$20 to S$25 per guest each night.
Food: S$100.
If you’re up for a similar style of travel, the budget of your Iceland campervan trip would be similar to mine. However, remember to set aside extra money for the occasional splurges and unplanned activities!
