For a bit more money than the cost of a dorm bed (though not much more!) you can book a guesthouse-style room with made-up beds and a view of the ocean and mountains on the other side of the Faxaflói bay.  Photo 1 of 9 in Kex Hostel, Reykjavik

Kex Hostel, Reykjavik

1 of 9

For a bit more money than the cost of a dorm bed (though not much more!) you can book a guesthouse-style room with made-up beds and a view of the ocean and mountains on the other side of the Faxaflói bay.