Reykjavík for Americans: about $3,900 a month in a small, safe capital

The people around you: Reykjavík is where most of Iceland's newcomers settle. About two-thirds of the country's first- and second-generation immigrants live in the Capital Region, and immigrants made up 18.9% of Iceland's population in January 2025. Poles are by far the largest group. Americans are a small slice, so most people build a circle through work, classes, Icelandic lessons and the neighborhood pool rather than an expat scene.

LGBTQ expats: Reykjavík Pride, held each August, is Iceland's biggest annual festival and draws more than 100,000 guests. It grew out of a weekend the LGBTQ association Samtökin '78 first held in 1999, and the association remains a good first contact for community.

Black Americans: The Black community here is small, and our research didn't turn up a dedicated organization for Black residents. In June 2020, about 4,000 people joined a Black Lives Matter demonstration in the city, with speakers who were Black people living in Iceland. Experiences vary: a Black American living here told the Reykjavík Grapevine in 2019 that she'd met ignorance more than racism, and that not everyone had been that lucky. Expect to stand out, and talk with Black residents before you commit.

Healthcare: For anything that isn't an emergency, you register with your local health center, the heilsugæsla. Emergencies go to Landspítali University Hospital in Fossvogur. Public insurance starts six months after you register your residence, so plan on private coverage for your first half-year, and know that dental care generally isn't covered. Hunter Schultz, our healthcare coach, can help you plan that gap, and ExpatInsure can set up the private policy.

Families: The International School of Iceland, in neighboring Garðabær, teaches kindergarten through grade 10 in English and Icelandic streams, with the IB Middle Years Programme from grade 7. Its English stream is aimed at families on temporary assignments.

Limited mobility: Every Strætó bus in the capital area has wheelchair access, though only one wheelchair fits on a bus at a time. Residents who can't use regular buses can apply through their municipality for Pant, a shuttle for older and disabled people. Snow and ice make sidewalks harder going for several months a year, and buses outside the capital area have no wheelchair access, so day trips usually mean a car.

Working online: Home internet runs about $65 a month in our data. If your paycheck comes from a U.S. employer, know that Iceland ended its remote work visa in May 2026, so there's no permit built for that right now.

Retiring here: Reykjavík has a lot that retirees want: low crime, a university hospital and a walkable center. But Iceland has no retirement visa, and Social Security or savings alone won't get you a permit. The main exception is parents 67 or older joining an adult child who already lives in Iceland. Our Iceland guide covers the details, and our retirement visa guide compares countries that do welcome retirees.