🇮🇸 Iceland · #11 of 538 cities · 2026

Cost of Living in Reykjavik

Very expensive — cheaper than 98% of cities worldwide

Ranked #11 of 538 cities · More expensive than 98% of cities worldwide

Very expensive
Cost of Living
Affordable
Rent
Very expensive
Groceries
Strong
Purchasing Power

Lower index = more affordable

Rent Prices

Rent Prices in Reykjavik

Apartment City Centre Outside Centre You Save
1-Bedroom ISK 294,842/mo ≈ $2,376 ISK 252,266/mo ≈ $2,033 14%
3-Bedroom ISK 412,353/mo ≈ $3,323 ISK 332,824/mo ≈ $2,682 14%
Numbeo · 2026-03-12

Cost Indices

Cost of Living
98.7 Very expensive
Rent
47.3 Affordable
Groceries
106.1 Very expensive
Restaurants
107.5 Very expensive
Purchasing Power
113.5 Strong

Living in Reykjavik: What to Expect

Reykjavik is very expensive by global standards (ranked #11 of 538 cities), cheaper than 98% of cities worldwide.

Groceries are very expensive, while dining out is very expensive. Rent offers the best value, while Restaurants is the priciest.

Local purchasing power is strong — residents can afford more goods and services than in most cities.

Workers in Iceland earning ISK 7,170,415 gross take home ISK 455,081/month after tax (23.8% effective rate). See full Iceland tax calculator →

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