Cheap Eats in Reykjavík: Budget Food Guide

Yes, Iceland is expensive—but you don't have to spend a fortune on every meal. Here are the best budget-friendly restaurants, cafés, and food spots in Reykjavík where you can eat well without breaking the bank.

🌭 Cheapest Meals

Bæjarins Beztu Pylsur

The famous Icelandic hot dog, and one of the cheapest meals in town. Get one with everything. Filling, delicious, and authentically Icelandic.

Grocery Store Hot Dogs

Every Bónus, Krónan, and 10-11 sells pylsur for even less. Add your own toppings at the condiment station.

Hlöllabátar Subs

Iceland's subway sandwich chain. A 6-inch sub is a budget-friendly, solid, filling lunch.

🍜 Best Budget Meals

Noodle Station

Thai-style noodle soup at a wallet-friendly price. Big portions, warm and satisfying. Perfect for cold Icelandic days. One of the best values in town.

  • Location: Laugavegur 86
  • What to order: Beef or chicken noodle soup, add extra spice

Mandi

Middle Eastern street food. Excellent, affordable falafel wraps. Vegetarian-friendly and very filling.

  • Location: Veltusund 3b

Icelandic Fish & Chips

Fresh fish and chips with skyr-based dipping sauces. Reasonably priced, sustainable, and tasty.

Garðurinn

Vegetarian soup and bread lunch. One of the cheapest sit-down meals in Reykjavík.

  • Location: Klapparstígur 37

🌙 Late Night Budget Eats

Metro

THE late-night spot, open late into the night. Cheap kebabs, burgers, and loaded fries. Perfect post-bar food.

  • Location: Austurstræti 18

Ali Baba

Kebabs served into the small hours on weekends. Massive portions at budget prices. An institution.

☕ Cheap Coffee & Breakfast

Bakery Breakfast

Bernhöftsbakari and other traditional bakeries sell inexpensive pastries. A kleinur (Icelandic donut) and coffee is the local cheap breakfast.

Skyr at the Grocery Store

Buy Icelandic skyr (thick yogurt) at Bónus for very little. With some fruit or granola, it's a complete breakfast that costs next to nothing.

💡 Budget Eating Tips

  • Lunch specials — Many restaurants offer lunch deals that are noticeably cheaper than dinner.
  • Happy hour food — Some bars offer cheap appetizers during happy hour.
  • Grocery store prepared foods — Krónan and Hagkaup have ready-made sandwiches and salads.
  • Share dishes — Portion sizes are often large enough to split.
  • Skip alcohol — A beer at a restaurant can cost almost as much as a whole budget meal.
  • BYOB at Ban Thai — Some restaurants let you bring your own wine (buy from Vínbúðin).

Find More Budget Options

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