Where to stay in the Faroe Islands

The Faroe Islands is a Danish self-governing archipelago of 18 islands in the North Atlantic located about an hour’s flight southeast of Reykjavik. As they are isolated and receive few tourists, there are few places to stay at, so let me help you decide where to stay on the Faroe Islands in this post.

Watch my video of the islands below for some jaw-dropping inspiration.

Accommodation on the Faroe Islands

There are only 11 accommodations classified as hotels, seven guesthouses and four hostels in the Faroe Islands bringing the total number of accommodation options to 22.

That may not seem like a lot but it is a reasonable number when you consider there are approximately 20,000 foreign visitors coming every year and about 40,000 when Danish and returning Faroese are included.

Despite the small list of official hotels, there are over 300 listings on Airbnb in the Faroe Islands so there are few options to choose from. I have put together a list to help you choose where to stay in the Faroe Islands according to your budget, itinerary and interests.

Here is a summary of the hotel listing:

Where should you stay in the Faroe Islands

The decision on what part of the Faroe Islands to stay at should depend on the duration of your trip and to a certain extent, what you plan to do.

If you are coming for the first time and you are looking to have a bit of everything (nature, hiking, landscapes, road trip, villages, culture and island trips) the duration should determine the number of different hotels or places you should stay at. This is for practical reasons.

The Faroe Islands are quite small but distances can take long to cover due to the winding roads and the 80km/h speed limit. So, basing yourself somewhere central to your itinerary is the most convenient approach.

If you are going to the Faroe Islands for a second or third time and would like to focus on specific parts or activities, like hiking, you may prefer to stay somewhere closer to that part of the Islands.

If you are visiting the Faroe Islands for a longer period, say, more than five days, it might make sense to include some other accommodation options beyond the capital of Torshavn in more remote locations, like the island of Vagar or Gjogv.

If you are only staying for five days or less, I would recommend you stay at the same hotel or Airbnb in Torshavn because it will be the most convenient.

Torshavn has most of the restaurants, so you will have more dining alternatives. It is also more central than other towns like Vagar, so it will be easier to explore the eastern part of the islands. And Torshavn is worth a day exploring the harbour, the parliament area and the museums.

So here is your accommodation decision-table to help you choose the right place to stay in the Faroe Islands.

For more on what to do and where to go in the Faroe Islands, check out my complete Guide to the Faroe Islands here.

The best hotels in Torshavn

Unsurprisingly, Torshavn has the most hotels in the Faroe Islands. The majority of the higher end accommodation options are in the capital and so here you will have the widest range of options including the highest rated, Foroyar Hotel.

So let’s look at the best hotels in Torshavn to help you make a decision.

Foroyar Hotel

Foroyar Hotel is Located in the outskirts of the city, high atop a hill with the traditional turf rooftop. It is officially classified as the only 4 star hotel on the islands although I would consider it more of a 3,5 star mostly because the rooms are relatively basic.

It’s location high on the hill is both a blessing and a curse. On one side, the location provides great views over the city and the bay, especially at sunset. On the other, it requires you having to use a car at all times, including when going for dinner, and that means you can only have one drink to ensure you stay within the safety limits.

Foroyar hotel has full facilities, including a 24h gym, room service and the restaurant with the best views in Torshavn. There is also a lobby bar and meeting rooms. The reception is open 24h and can help out with anything. There is a small fridge where you can buy snacks, sandwiches and sushi from Etika.

All the rooms at Foroyar Hotel have the same views as the restaurant with a stunning perspective over the bay and the city. Inside, the rooms are relatively standard and lack any character. They have twin beds which may be pushed together to make a double, a desk and a regular bathroom. I saw signs that indicated that having the bed sheets changed during our stay would carry an extra fee.

We found the hotel to be a good option, conveniently located to get in and out, with ample parking opportunities and friendly staff, but we could not help but wonder if it lacked a bit of personality.

When the rest of the country is closed off, aka during the Christmas holidays, Foroyar Hotel is the only place open, so most foreigners congregate there. New Year’s Eve on the rooftop, with views over the city’s continuous display of fireworks is unforgettable.

Foroyar Hotel is where all the dignitaries and international visitors to the Faroe Islands stay at and there is a plaque that lists them all on the way to the gym.

Nightly rates starting at US$150.

For more images, rates and availability, click one of the options below:

Hotel Hafnia

A decent hotel in the downtown area of Torshavn dating from the 1940s and within minutes to all the restaurants and landmarks in the city.

This is the most convenient hotel in the city. The common areas are designed and decorated in warm hues, light wood and colorful decor. However, reviews point at the dated rooms that are in need of a renovation and the unpleasant wet-room style bathroom which comes with showers with curtains but no floor enclosure for the water. However, these are being replaced.

After Hotel Foroyar, Hafnia is the next best hotel in the Faroe Islands but it is lagging behind in many aspects, especially on the facilities. There is no gym here and no facilities of any other kind. It is also a problematic place to stay if you have a car as there is no free parking nearby so only stay here if you are on a  group tour and planning not to drive.

There is a restaurant where breakfast and lunch is served buffet style but no dinner. However, the hotel is within a few steps away from the best restaurants in Torshavn so that should not be a problem.

Hafnia may be closed during the Christmas to new Year’s period.

Nightly rates starting at US$220.

For more images, rates and availability, click one of the options below:

Hotel Torshavn

Another local option in town by the harbour this is a scenically located hotel with nice views over the fishing boats and one category level down from the Hafnia. Its location by the ferry area is convenient for daily excursions during the summer months.

The hotel was renovated in 2007 from its 1923 former seamen hostel glory, and is now a decent 3 star hotel in burgundy, red and orange tones. However, don’t expect anything special. Several guests point at the small size of the rooms and the tiny toilets, so you might want to upgrade to a mini-suite level.

The hotel is open all days of the year, there is a bar and brasserie available. For those with a car, there is a free parking a few minutes away.

Nightly rates starting at US$150.

For more images, rates and availability, click one of the options below:

Best hotels in Vagar

Vagar is a relatively developed fishing village near the airport. Although the town does not have much to offer and does not boast the amenities and dining options of Torshavn, it is located on the island of the same name, which is known for many of the Faroe Islands’ main sights, including the visual trick lake Sørvágsvatn / Leitisvatn and the famous Mulafossur waterfall.

As a result, there are a few accommodation options in Vagar that may be worth a look if you plan to spend time exploring this island.

Hotel Vagar

Hotel Vagar is near the airport, to the left of the road as soon as you leave the airport area. That means that it is not walking distance from the terminal in winter when snow covers it all, but is otherwise a 10min walk. The few planes taking off and landing every day on the Faroe Islands means noise is limited.

The hotel is housed in a rather industrial looking one-floor building but conveniently located and comfortable. All the rooms are on the ground floor and there is ample parking.

There is a restaurant on site that is open until 9pm every night and they can arrange take-away sandwiches and food for your hikes or excursions.

Nightly rates starting at US$180.

For more images, rates and availability, click one of the options below:

Other places to stay in the Faroe Islands outside Vagar and Torshavn

Naturally, if you are coming to the Faroe Islands for a longer time than just five days, it might make sense for you to find another place to stay outside the capital city.

Although there are not many options, there are a couple of guest houses that are worth a mention.

Guesthouse Gjaargardur in Gjogv

If you are planning to explore the area around Gjogv, especially the hike up to the highest mountain on the Islands, a night in the guesthouse in Gjogv is a good idea.

For a place that is not a hotel, it is remarkably well done and gets decent reviews for the homemade (if limited choice) food and the nice views.

Gjaargardur is cozy, the rooms are comfortable, the family running it are well on top to make sure guests are happy and meals are local and hearty. Some reviews point at the old and small toilets. Rooms in the new annex are better. Make sure to book a room with a view as this is a highlight.

Nightly rates starting at US$150.

For more images, rates and availability, click one of the options below: