Localization has become an important area of research with the development of wireless communication technologies. Of particular prominence within this area is Vehicular Ad Hoc Networks (VANET), which plays an important role in many applications such as vehicle tracking, accident prevention, and efficient transportation. GPS technology, which can easily be integrated into vehicles has been instrumental in the development of localization-based applications. Furthermore, owing to the improvements in the wireless communication technologies such as Internet of Things (IoT), VANET localization can be implemented in places where GPS is not available. In this survey, we begin by providing a summary of the use cases of localization in VANET and highlight various techniques that are proposed in the literature. Moreover, we classify the studies in this area with respect to their methodologies, and discuss their respective advantages and disadvantages. Finally, we provide an overview of potential research topics for future research.