Reykjavik Cost of Living, Rent Prices, Salaries & Quality of Life (2026)
Iceland · Europe
$4,300
Monthly Cost
avg/person
106
Cost Index
NYC=100
95
Rent Index
NYC=100
90
Quality of Life
Excellent
92
Safety Index
Excellent
0.1M
Population
ISK
Quality Indices
Currency
Data collected from contributors and public sources.
Updated: July 2026
Prices are indicative.
| Item | Price (USD) |
|---|---|
| Meal (inexpensive) | $22 |
| Meal for 2 (mid-range) | $95 |
| McMeal at McDonald's | $15 |
| Domestic Beer (0.5L) | $10 |
| Imported Beer (0.33L) | $10 |
| Cappuccino | $6 |
| Coke/Pepsi (0.33L) | $4 |
| Water (0.33L) | $3 |
| Item | Price (USD) |
|---|---|
| Milk (1L) | $1.8 |
| Bread (500g) | $3 |
| Rice (1kg) | $2.5 |
| Eggs (12) | $5 |
| Chicken (1kg) | $12 |
| Beef (1kg) | $20 |
| Apples (1kg) | $4 |
| Banana (1kg) | $2.5 |
| Tomato (1kg) | $5 |
| Potato (1kg) | $2.5 |
| Onion (1kg) | $2 |
| Water (1.5L) | $2 |
| Item | Price (USD) |
|---|---|
| 1-way Ticket (local) | $3.5 |
| Monthly Pass | $65 |
| Taxi 1km | $4 |
| Gasoline (1L) | $2.1 |
| Volkswagen Golf | $40000 |
| Toyota Corolla | $32000 |
| Item | Price (USD) |
|---|---|
| Basic (85m² apt) | $120 |
| Mobile Plan | $25 |
| Internet (60 Mbps) | $45 |
| Fitness Club/month | $80 |
| Item | Price (USD) |
|---|---|
| 1BR Center | $2,000/mo |
| 1BR Outside | $1,500/mo |
| 3BR Center | $4,000/mo |
| 3BR Outside | $3,000/mo |
| Price/m² Center | $10,000/m² |
| Price/m² Outside | $7,000/m² |
| Item | Price (USD) |
|---|---|
| Average Net Salary | $5000 |
| Mortgage Interest Rate | 7.5% |
Cost of Living in Reykjavik — Complete Guide (2026)
Monthly Budget Overview
The average cost of living in Reykjavik, Iceland is approximately $4,300 per month for a single person. This includes rent, groceries, local transport, and utilities. Compared to New York City (index 100), Reykjavik has a cost index of 106, making it around 6% more expensive. Individuals and couples should budget higher depending on housing size and lifestyle choices, while students and solo remote workers often spend near the lower end of this range.
Rent and Housing Costs
Renting a one-bedroom apartment outside major population centers in Reykjavik costs around $1,500/month, while a one-bedroom in a central area is approximately $2,000/month. A three-bedroom apartment in a central area averages $4,000/month. The rent index for Reykjavik is 95 compared to New York City (NYC = 100).
Food, Groceries & Dining Out
Everyday grocery costs and restaurant prices in Reykjavik play a major role in the overall monthly budget. Prices vary between local markets, mid-range restaurants, and imported goods, so residents who cook at home and shop at local markets typically spend noticeably less than those who eat out often. See the Restaurants and Markets & Groceries tables above for a full item-by-item price breakdown.
Transportation Costs
Public transport, taxis, fuel, and vehicle costs in Reykjavik are detailed in the Transportation table above. A traffic and commute score of 72/100 indicates how easy day-to-day travel around the country generally is, which matters when comparing regions before relocating.
Quality of Life and Safety
Reykjavik scores 90/100 on the quality of life index and 92/100 on safety. Healthcare is rated 90/100. The climate index is 35/100. These scores are based on factors including infrastructure, pollution levels, healthcare access, and crime rates reported by residents and contributors, and are updated regularly to reflect current conditions.
Salaries and Purchasing Power
The average net salary in Reykjavik is approximately $5,000/month. With a purchasing power index of 100/100, residents can cover basic expenses and save modestly. The local currency is ISK, though all prices on this page are displayed in USD for easy international comparison.
Utilities & Monthly Bills
Electricity, water, heating/cooling, and internet costs are broken down in the Utilities & Services table above. Combined with rent, these fixed monthly costs form the core of any relocation budget for Reykjavik.
Is Reykjavik Good for Digital Nomads?
Remote workers evaluating Reykjavik should weigh the 106 cost index against the 90/100 quality of life score and 92/100 safety rating. Combined with reliable internet infrastructure (see Utilities above), these numbers help determine whether Reykjavik fits a remote-work budget and lifestyle.
Monthly Budget Breakdown in Reykjavik
| Expense | Estimated Monthly Cost (USD) |
|---|---|
| Rent — 1BR Outside Center | $1,500 |
| Rent — 1BR City Center | $2,000 |
| Rent — 3BR City Center | $4,000 |
| Average Net Salary | $5,000 |
| Total Avg. Monthly Cost (single person, all-inclusive) | $4,300 |
See the Restaurants, Markets & Groceries, Transportation, and Utilities tables above for a full itemized breakdown.
Cost of Living for Families in Reykjavik
Families relocating to Reykjavik typically need a larger home, higher grocery spend, and budget for schooling and healthcare. A 3-bedroom apartment in a central area runs around $4,000/month, and with a healthcare index of 90/100 and safety index of 92/100, Reykjavik is generally considered a solid option for raising children. Total household budgets usually run well above the single-person average of $4,300/month once housing size, schooling, and childcare are factored in.
Student Living Costs in Reykjavik
Students in Reykjavik generally spend less than the citywide single-person average by sharing accommodation, using public transport, and cooking at home. With a cost index of 106 (NYC = 100) and a rent index of 95, budget-conscious students can often keep total monthly spend meaningfully below the $4,300 average, especially if renting outside the city center at roughly $1,500/month or splitting that cost with roommates.
Quick Summary
The average cost of living in Reykjavik is $4,300 per month for a single person. Housing costs average $1,500for a one-bedroom apartment outside the city center. The country scores 90/100 for quality of life and 92/100 for safety. Compared with New York City, Reykjavik has a cost index of 106, making itmore expensive.
Pros and Cons of Living in Reykjavik
Pros
- Strong safety rating (92/100)
- Good healthcare access and quality (90/100)
- Solid purchasing power for residents (100/100)
- Manageable traffic and commute times (72/100)
Cons
- Higher overall cost of living (index 106, NYC = 100)
- Climate scores lower (35/100) — check seasonal conditions
How does Reykjavik compare to other countries?
Reykjavik is located in Europe with a population of approximately 0.1M. At a cost index of 106 (NYC = 100), it is a mid-range country in terms of global cost of living. Use the free comparison tool to see how Reykjavik stacks up against any other city or country worldwide across rent, groceries, transport, and salaries.
Frequently Asked Questions About Reykjavik
What is the cost of living in Reykjavik?
The average cost of living in Reykjavik, Iceland is approximately $4,300 per month for a single person, including rent, food, transportation, and utilities. The cost index is 106 relative to New York City (NYC = 100).
How much does rent cost in Reykjavik?
Rent in Reykjavik varies by neighborhood and apartment size. The rent index is 95 (NYC=100). A 1-bedroom apartment outside the center averages around $1,500/month, while a 1-bedroom in the center runs closer to $2,000/month.
Is Reykjavik expensive to live in?
Reykjavik has a cost index of 106 compared to New York City (100). At 106, Reykjavik is on the more expensive side globally. The average monthly budget for a single person is around $4,300.
What is the quality of life in Reykjavik?
Reykjavik has a quality of life index of 90/100 and a safety index of 92/100. Located in Europe, it offers a excellent quality of life rating based on factors including safety, healthcare, climate, and infrastructure.
What is the average salary in Reykjavik?
The average net salary in Reykjavik is approximately $5,000/month, with a purchasing power index of 100/100.
Is Reykjavik good for digital nomads and remote workers?
Reykjavik has a cost index of 106 and a quality of life score of 90/100, making it worth evaluating against your specific budget and lifestyle needs. Check current rent, transport, and utility costs above before planning a move.
What is the best city to live in Reykjavik?
Check the individual city pages for Reykjavik to compare quality of life, safety, and cost data across locations.
How does the cost of living in Reykjavik compare to other countries?
Use Worldlivingcost's free comparison tool to compare Reykjavik with any city or country worldwide. Reykjavik's cost index is 106 (NYC=100), making it more expensive than New York. Compare rent, groceries, transport, healthcare, and salaries side by side at https://worldlivingcost.com/compare