Best Places for Cheap Eats and Budget Food in Reykjavík

Finding the best cheap eats and budget food in Reykjavík for 2026 is actually quite simple. Many first-time travelers worry about the high cost of dining out in the city of Reykjavík. You can still enjoy great meals without spending a fortune during your next winter vacation. This guide shares the best affordable spots for your upcoming trip to beautiful Iceland.

Reykjavík offers several hidden gems for the savvy budget traveler to explore this year. Eating like a local will help you save your precious money for more exciting tours. We will show you exactly where to find the best value meals in the city. Get ready to explore the delicious and affordable side of budget-friendly Iceland right now.

Iconic Icelandic Hot Dogs and Quick Bites

You can find the latest updates on Reykjavík official info.

For practical details and last-minute changes, use Early Morning.

The Bæjarins Beztu Pylsur stand is a true local legend for every budget traveler. This famous spot serves the most popular hot dogs in the entire city of Reykjavík. A single hot dog costs roughly 700 ISK during the current 2026 travel season. This is truly the ultimate budget food in Reykjavík option for a quick meal.

You should ask for "eina með öllu" to get all the tasty toppings included. This traditional order includes raw onions, crispy onions, and a special sweet brown mustard sauce. The stand is located near the harbor area for a very convenient lunch stop. It stays open late to serve hungry night owls after the bars close down.

Hot dogs are arguably the most popular street food across the entire country of Iceland. They are made from a unique blend of local lamb, beef, and savory pork. This mixture gives them a very distinct and delicious flavor you will certainly love. They are a reliable staple for anyone trying to save money on their trip.

You can find many other hot dog stands located across the city streets today. Most local gas stations also serve them at very low and competitive prices. This is a very reliable way to eat for cheap while exploring the city. It is a classic part of the local culture for every Icelandic resident.

Best Value Lunch Specials in the City

Many local restaurants offer much lower prices during the busy weekday lunch hours. You can find hearty soups and fresh sandwiches for much less money than dinner. Look for the daily fish special to get the best value for your budget. This is often the freshest meal available at any restaurant during the day.

Visit the Old Harbor area for some truly delicious and filling seafood soups. Places like Sægreifinn offer world-famous lobster soup for a very fair and reasonable price. A warm bowl of soup costs about 2,000 ISK for a filling lunch. It also comes with plenty of fresh bread and Icelandic butter on the side.

You should also check out the various local food halls found around the city. Hlemmur Mathöll has several different stalls with many diverse and affordable price points. Some vendors offer smaller portions for a much lower cost to the hungry customer. This allows you to taste many different Icelandic flavors without spending too much.

Try reading about budget winter travel in Reykjavík to save even more money. Most lunch specials usually end around 2 PM or 3 PM in the afternoon. Plan your day to eat your main meal earlier to save significant cash. This smart strategy saves you a lot of money on every single trip.

Affordable International Flavors and Fusion

Asian cuisine is often more affordable than traditional European meals in the capital city. Noodle Station serves massive bowls of spicy and warming soup for a low price. A large bowl costs around 1,900 ISK throughout the 2026 winter travel season. It is a perfect way to warm up after a cold day of sightseeing.

Mandi offers great Middle Eastern food for budget travelers looking for a filling meal. Their famous shawarma wraps are both very filling and extremely tasty for a quick lunch. You can find their shop located near the main city center square area. They stay open very late on weekends to serve the local party crowds.

Devito's Pizza is another very reliable choice for a quick and affordable dinner meal. You can choose to buy pizza by the slice or a whole large pie. The shop is located near the start of the main shopping street, Laugavegur. Many locals choose this spot for a fast and cheap dinner every week.

Vietnamese food is also becoming very popular and affordable throughout the city of Reykjavík. Pho is a great option for a healthy and relatively cheap dinner choice. These restaurants offer large portions that will keep you full for many hours. Always look for these international spots to keep your daily food costs down.

Budget Supermarket Hacks and Meal Prep

💡 Pro Tip: Book your Reykjavik adventures in advance through Viator for the best deals!

Cooking your own meals is easily the best way to save money in Iceland. Shop at Bónus or Krónan supermarkets to find the absolute lowest prices on food. These are the most affordable grocery stores found throughout the city and country. Avoid convenience stores like 10-11 to keep your daily food costs much lower.

Check out these grocery shopping tips for budget travelers for even more professional help. Skyr is a very healthy and cheap Icelandic yogurt option for your breakfast. You can buy large tubs for only a few hundred ISK at Bónus. It is packed with protein to fuel your long days of winter exploration.

Pick up pre-made sandwiches or fresh salads for your long day trips into nature. Most supermarkets have a dedicated section for quick and easy lunches for travelers. This prevents you from paying high prices at the isolated tourist stops during tours. It is a very smart move for any budget-conscious traveler visiting Iceland.

Buy all your snacks and drinks at the grocery store before you leave. Bottled water is completely unnecessary since the local tap water is absolutely perfect. Fill your reusable bottle at any sink in the city for no cost. This simple habit saves you several dollars every single day of your trip.

Happy Hours and Discount Dining Apps

💡 Pro Tip: Book your Reykjavik adventures in advance through Viator for the best deals!

Alcohol is very expensive in Icelandic bars and restaurants due to high taxes. Download the "Appy Hour" app to find the best deals on local drinks. It lists every single happy hour currently happening in the city of Reykjavík. You can often save up to 50% on drinks during these specific times.

The local food scene also features several discount apps for savvy diners to use. Check for apps that offer half-price meals near the end of the day. This is a great way to prevent food waste and save your money. It allows you to eat high-quality food for a very low price.

Look for "Early Bird" specials at some of the nicer restaurants in town. Some places offer significant discounts if you dine before 6 PM in the evening. This is a great way to experience fine dining on a budget. You get high quality for a small fraction of the normal cost.

Eating during happy hour can also lead to cheaper food deals at some bars. Many pubs offer a discount on snacks when you purchase a local beer. This can serve as a light and very affordable dinner for some travelers. Always check the menu for these combined deals to save more cash.

Frequently Asked Questions

Is food very expensive in Reykjavík?

Yes, food in Iceland is generally quite expensive for most international travelers. Most main courses at restaurants cost between 3,000 and 5,000 ISK. However, you can find cheaper options by following our expert local guide. Street food and lunch specials are always your best friends here.

Where can I find the cheapest meal in the city?

The cheapest place to eat is the famous local hot dog stand. Bæjarins Beztu Pylsur offers filling meals for under 800 ISK today. Supermarkets like Bónus also offer very affordable pre-made meals for travelers. These options are much cheaper than any traditional sit-down restaurant you find.

Is the tap water safe to drink in Iceland?

The tap water in Iceland is actually some of the best in the world. It is completely safe and very delicious for everyone to drink for free. You should never buy bottled water in a store during your trip. Simply bring a reusable bottle and fill it up for free.

Do I need to tip at restaurants in Reykjavík?

Tipping is not expected or required at any restaurants located in Iceland. Service charges and taxes are already included in the price of your meal. You do not need to add extra money to your final bill. This helps keep your total food costs much more predictable.

Are there any good discount cards for food?

Yes, you should consider using the Reykjavík City Card for various restaurant discounts. Some partner locations offer 10% off your total bill for cardholders. Always look for these savings before you order your food at any place. Every little bit of savings adds up very quickly over time.

Exploring the best cheap eats and budget food in Reykjavík is a rewarding challenge. You can eat very well while staying within your travel budget in 2026. Use these tips to enjoy the local flavors without the high prices. Remember to shop at supermarkets and look for those vital lunch specials. Your wallet will certainly thank you after a long and successful trip. Enjoy every single bite of your affordable Icelandic adventure this winter.

Key Takeaways

Eat at hot dog stands for meals under 800 ISK.
Shop at Bónus or Krónan supermarkets to save 50% on food.
Drink free tap water instead of buying expensive bottled water.
Use lunch specials to get restaurant quality for much less.
Download the Appy Hour app to save on expensive drinks.

Cheap Eats and Budget Food in Reykjavík Guide

Table of Contents