There’s nothing quite like an Icelandic Christmas — cozy vibes, unique traditions, and breathtaking winter landscapes. I visited Iceland just before Christmas last year, and despite the short days, I was captivated by the promise of the Northern Lights and the charm of Iceland’s holiday celebrations. If you’re looking for a truly unique place to experience the holiday season, Christmas in Iceland should be at the top of your list.
This is your guide to celebrating Christmas in Iceland.
Where to Stay for a Magical Iceland Christmas
Iceland in December means the risk of icy roads, limited daylight, and unpredictable weather, making Reykjavik the perfect hub. The capital is brimming with holiday charm: streets twinkle with lights, you can browse festive markets and local shops, or relax in a cozy café.
But of course, you came to Iceland for its remarkable natural beauty, so take a day trip and let an expert navigate the icy roads.
Iceland’s iconic sites look extra special when dusted with a layer of fluffy snow—MORE details below on the BEST Winter Day Trips from Reykjavik.
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Favourite Reykjavik Accommodations
A little confession: Iceland is expensive, so I tend to choose basic accommodations, often with shared bathrooms. This allows me to spend more money on experiences (and food). Here are a few of my favourite spots to stay in Reykjavik.
Guesthouse Sunna – I’ve stayed at Sunna more than a dozen times. There isn’t a better location. It’s centrally located, quiet, and right across from Hallgrímskirkja, Reykjavik’s iconic church. And steps away from Rainbow Street (Skólavörðustígur), with its charming local boutiques. The rooms are simple and have access to a little kitchen on each floor. The fluffy duvets, great rates, and unbeatable location make Sunna my top recommendation.
Snorri Guesthouse – On my first visit to Iceland, I stayed at Snorri Guesthouse. About a 6–7 minute walk from the downtown core, it offers simple, comfortable rooms (some with shared bathrooms) at very affordable prices.
Blue House B&B – A little outside the city center, but ideal if you have a rental car. Parking is easy, and I appreciated the thoughtful touches that Blue House B&B provided for its guests, including information on local attractions, restaurants and a WhatsApp group chat on Northern Light Sightings
And a huge bonus, it’s located near the Grótta Lighthouse: a great photo spot and one of the best areas to spot the Northern Lights right from Reykjavík.
Center Hotels Arnarhvoll – Right on the waterfront, across from Harpa Concert Hall. Even if you don’t stay here, their top-floor cocktail bar is one of my favourite spots for a nightcap with a view.
Þingholt by Center Hotels – Pingholt has a dark, cozy vibe and is a bit more upscale than the other spots. I loved my room, and the service and breakfast were great! The only caveat is its proximity to bars, which can make it a bit noisy when they let out at night, so I’d avoid staying here around New Year’s. Still, it’s a place I’d happily return to.
Icelandic Christmas Traditions
Christmas in Iceland is more than just snow and the Northern Lights — it’s a magical season filled with folklore, food, and cozy traditions. Locals don’t just celebrate Christmas Day; they fully embrace the entire festive season, which begins in late November and lasts through early January.
The 13 Yule Lads (Jólasveinar)
One of Iceland’s most unique Christmas traditions is the visit of the 13 Yule Lads. Instead of a single Santa Claus, Icelandic children are visited by thirteen mischievous brothers who descend from the mountains one each night. The Lads have their own personalities — from Spoon-Licker to Door-Slammer — and they leave small gifts (or potatoes for the naughty ones!).
The Christmas Cat (Jólakötturinn)
Beware the Icelandic Christmas Cat, a giant black cat that prowls the country on Christmas Eve. According to folklore, anyone who doesn’t receive new clothes for Christmas risks being “eaten” by the cat. Personally, I think it’s a clever way for Icelandic parents to convince their kids that clothes make great Christmas gifts.
The Christmas Book Flood (Jólabókaflóð)
One of my favourite Icelandic Christmas traditions is the Jólabókaflóð, or “Christmas Book Flood.” Every year, in the weeks leading up to Christmas, new books are released all over Iceland — and they’re a popular holiday gift. On Christmas Eve, it’s common to cozy up with a new book and your favourite beverage. I love this tradition — the perfect way to spend a long winter night.
Iceland has many great writers, my favourite is Arnaldur Indriðason, known for his crime novels. Set against Iceland’s stark and beautiful landscape, his stories highlight the country’s culture and people — along with a mystery that keeps you turning the pages. If you’re new to his work, start with Jar City. Looking for a slightly festive (but dark) read, try Voices — featuring a murdered hotel Santa.
Icelandic Christmas Food
No surprise — food plays a huge role in Iceland’s Christmas celebrations. Here are a few festive favourites:
- Laufabrauð (“leaf bread”): Thin, deep-fried bread with intricate patterns. I fell in love with this stuff and ate as much as I could — delicate, a little buttery, and absolutely delicious.
- Malt og Appelsín: A sweet, fizzy Christmas drink that combines local orange soda with a non-alcoholic malt beverage. For me, it was a little weird, but definitely worth trying once. And who knows, maybe it’ll become your thing.
- Jólabjór (Christmas Beer): Icelanders go all-in for seasonal brews. Released in early November in festive cans, these beers are typically richer, darker, and maltier — perfect for pairing with traditional Christmas foods like smoked lamb and roast pork.
- Jólaterta (“Christmas Cake”): A spiced gingerbread layer cake with a creamy filling, sometimes with prune jam between the layers. So good! I devoured it, so there wasn’t much left when I remembered to take the photo, hence the close-up! You can pick it up at grocery stores in November and December.
BEST Winter Day Tours from Reykjavík
Reykjavík is the perfect base for day trips that will enhance your Iceland Christmas experience. Keep in mind that daylight hours are short in December, with the sun typically rising around 10:30 am and setting around 3:30 pm. This means you’ll be driving through dark, wintry landscapes; in my opinion, it’s best to take a guided tour at this time of year. But the limited daylight makes the golden hours all the more magical.
The Ultimate Day in Iceland
If I only had one day in Iceland, I’d visit the Golden Circle, enjoy a fantastic lunch in a tomato greenhouse and then finish the day soaking in the warm waters at Sky Lagoon. I’ve done this tour before and would do it again!
Best Thermal Lagoon near Reykjavik
In my opinion, I would always choose the Sky Lagoon over the Blue Lagoon. Don’t get me wrong, the Blue Lagoon is amazing, but I prefer the Sky Lagoon with its Seven Rituals (which includes sauna, salt scrub and steam room).
The view from its thermal lagoon and the sauna is impressive, with the ocean and mountains. Sky Lagoon is located on the outskirts of Reykjavik; unless you have a rental car, select the option with transfer from downtown. And book it in advance!
Best Golden Circle Tour
All Golden Circle tours include Gullfoss, Geysir and Thingvellir National Park. However, this is the only tour that includes BOTH Brúarfoss, a magical blue waterfall, and Kerið Crater, a 6,500-year-old volcanic crater. It’s a long day, but you’ll see a lot; bring bus snacks!
Snæfellsnes Peninsula Full-Day Tour
Snæfellsnes peninsula is my favourite part of Iceland. It’s about 2 hours from Reykjavik, so it’s totally doable as a day trip. However, the roads in Iceland during the Christmas season will be snowy, so recommend taking a day trip! You’ll see the remarkable Kirkjufell mountain, the glacier-capped dome of Snæfellsjökull, a dormant volcano, and so much more! This is my favourite tour of the Snæfellsnes peninsula.
Don’t recommend in the Winter
Should you visit Jokulsarlon, a lagoon filled with baby icebergs, absolutely! However, I wouldn’t recommend doing this day trip in the winter. It’s a long day, this tour (which is excellent) is 14 hours, and in December, with only 5-ish hours of daylight, you’ve got a long, dark bus ride. But from March to October, visiting Jokulsalon and the nearby Diamond Beach is a must-do adventure.
Northern Lights Tours
If you’re visiting Iceland in the winter, of course, you’re hoping to see the Northern Lights!! And I have strong feelings about this. There are loads of good bus tours, where talented drivers take you out of the city hunting the Aurora Borealis.
But the best experience, in my opinion, is by boat. Why bump around the countryside in a bus when you can be gliding across Faxaflói Bay in a yacht? The night I went, I didn’t actually see the Northern Lights, but I had a wonderful experience nonetheless. You can stay warm inside or sit out with blankets on one of the decks. Book your tour on the first night of your trip. Most companies will allow you to take the tour again (for free) the following night if the Northern Lights didn’t put in an appearance.
Whether you’re going to Iceland for Christmas or any other time of year, I’ve got loads of information to help you plan your trip. Start by checking out these posts: Booked My Trip to Iceland Now What? and Packing List for Iceland: Secret Tips.
