Car Rental Tips

How to Choose the Right Car Rental at Keflavík Airport

30.07.2025

Arriving at Keflavík International Airport (KEF) is where your Icelandic self-drive adventure begins. Whether you're planning to circle the island on the Ring Road, explore the rugged Highlands, or chase the Northern Lights in winter, choosing the right car rental sets the tone for an unforgettable trip.

At Höldur Car Rental – Iceland’s trusted local Europcar franchise – we offer reliable, eco-conscious, and adventure-ready vehicles tailored for every traveller and season. With over 8,000 cars in our nationwide fleet, and a convenient location inside the arrivals terminal at KEF, we make it easy to hit the road with confidence.

Why Rent from Höldur at Keflavík Airport?

  • Walk-and-drive convenience: Collect your car straight from the KEF arrivals hall – no shuttles, no stress.

  • Wide selection: From compact cars and estate wagons to rugged 4×4 SUVs and 9-seaters, our fleet supports every route and group size.

  • Reliable local service: As Iceland’s Europcar partner since 1966, we deliver local knowledge with international service standards.

  • Sustainability: Many of our vehicles are eco-certified, and we actively promote responsible travel throughout Iceland.

  • Flexible terms: Free cancellations, optional insurance upgrades, and friendly service – every step of the way.

Couple with a child and rental car from Holdur looking at Icelandic horse

Choose Your Car Based on Travel Plan

Travelling the Ring Road?

The iconic Ring Road (Route 1) takes you through Iceland’s most diverse landscapes – waterfalls, glaciers, fjords and more – and is paved the entire way.

Recommended vehicles:

  • Passenger cars like the Kia Ceed or Toyota Yaris – ideal for solo travellers or couples.

  • Estate wagons such as the Skoda Octavia Combi – perfect for small families or those carrying more luggage.

These offer great fuel economy and comfort without the need for 4×4 capabilities.

Heading into the Highlands?

If you're venturing off the beaten path into areas like  Landmannalaugar or Askja, you'll be driving on F-roads – gravel, steep, and often river-crossed.

You must rent a 4×4 SUV:

  • Compact 4×4: Suzuki Vitara, Dacia Duster – agile, fuel-efficient, Highland legal.

  • Larger 4×4: Toyota Land Cruiser, Land Rover Discovery, Land Rover Defender – ideal for remote routes and rugged terrain.

All 4×4 rentals from Höldur are F-road approved, well-maintained, and include all modern safety features.

Iceland rental cars for families and groups

For group tours, family holidays or photography trips:

Consider:

  • Minivans and people carriers like the Renault Trafic III (9-seater) or VW Caravelle 4WD (8-seater).

  • These provide spacious comfort, and some offer 4×4 capability if you're heading beyond the main roads.

Winter Driving in Iceland: What You Need to Know

Travelling between October and April? Iceland’s weather is dynamic and unpredictable — snowstorms, icy roads, and low visibility are common. But with the right vehicle and preparation, your winter self-drive can be safe and magical.

Choose a 4×4 SUV:
For winter road conditions, we strongly recommend 4×4 vehicles. Models like the Suzuki Vitara AWD, Toyota RAV4, or Dacia Duster offer the traction, clearance, and safety features needed to navigate icy roads and snow-covered paths.

Studded winter tyres included – always
At Höldur, every vehicle rented during the winter months comes equipped with high-quality studded winter tyres at no additional cost. These tyres greatly improve grip and braking performance, providing peace of mind even in remote or slippery conditions.

All-wheel-drive + winter tyres = safety first

Whether you’re chasing the Northern Lights, visiting icy waterfalls, or just driving into Reykjavík, the combination of AWD and studded tyres ensures a stable and secure experience on Icelandic winter roads.

Read more about Winter Driving in Iceland: A Comprehensive Overview for Foreign Tourists.

Kia sportage 4x4 SUV winter driving in Iceland

Choose by Budget

Economy Rentals

  • Best for short stays, solo travellers, or couples on a budget.

  • Options: Toyota Aygo, Kia Ceed, Suzuki Swift AWD.

Mid-range Comfort

  • Great for families or couples with more luggage.

  • Options: Skoda Octavia Combi, Kia Ceed SW.

Premium or Adventure

  • Perfect if you value extra comfort, space, or 4×4 capabilities.

  • Options: Toyota Land Cruiser, Land Rover Defender, Luxury vehicles.

Quick Car Selection Checklist

Trip Type Vehicle Type
Ring Road in summer Compact or estate car
Highlands / F-roads 4×4 SUV only
Group travel (5–9 people) Minivan or 4WD people carrier
Winter travel 4×4 SUV with studded tyres (included)
Budget-conscious explorers Compact car or small AWD
Luxury or business travel Premium or prestige models

Frequently Asked Questions

Do I need to book in advance?

Yes. Iceland’s rental market is in high demand – especially in summer and during holidays. Booking early secures your preferred model.

Are studded winter tyres included?

Yes! All Höldur vehicles come with studded winter tyres at no extra cost during winter months. It's included for your safety.

Can I pick up the car directly at KEF airport?

Absolutely. Our rental desk is inside the terminal, and your car is parked just outside. No need to take a shuttle.

What licence and documents do I need?

A valid driving licence (held for at least one year), passport, and credit card. An International Driving Permit (IDP) is needed if your licence isn't in Latin characters.

Can I drive on F-roads in a regular car?

No. F-roads require a 4×4 vehicle by law. Standard cars are not permitted and not insured on these routes.

What protection or insurance is included?

Basic Protection is standard, with the option to upgrade to include gravel damage, theft, or zero excess cover.

Can I return the car after hours?

Yes – there’s a key drop at KEF airport for after-hours returns. Your car remains your responsibility until it’s checked.

Do you offer child seats, GPS or mobile Wi-Fi?

Yes – you can add extras like GPS units, child seats, and mobile Wi-Fi during booking.


Suzuki Swift on gravel road in Iceland

Final Thoughts: Drive Iceland Your Way

Renting the right car at Keflavík Airport isn’t just about transport — it’s about unlocking Iceland on your terms. Whether you're cruising the south coast, heading north for solitude, or crossing rivers in the Highlands, Höldur gives you freedom, flexibility, and expert local support.

From studded tyres in winter to 4×4 confidence on gravel tracks, every rental reflects our mission: to empower unforgettable adventures through reliable, sustainable travel.

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