diff --git a/src/components/Select.vue b/src/components/Select.vue
index a80efdd58..2d8c5f358 100644
--- a/src/components/Select.vue
+++ b/src/components/Select.vue
@@ -57,9 +57,9 @@
           v-for="(option, index) in filteredOptions"
           :key="getOptionKey(option)"
           class="vs__dropdown-option"
-          :class="{ 'vs__dropdown-option--selected': isOptionSelected(option), 'vs__dropdown-option--highlight': index === typeAheadPointer }"
-          @mouseover="typeAheadPointer = index"
-          @mousedown.prevent.stop="select(option)"
+          :class="{ 'vs__dropdown-option--selected': isOptionSelected(option), 'vs__dropdown-option--highlight': index === typeAheadPointer, 'vs__dropdown-option--disabled': !selectable(option) }"
+          @mouseover="selectable(option) ? typeAheadPointer = index : null"
+          @mousedown.prevent.stop="selectable(option) ? select(option) : null"
         >
           <slot name="option" v-bind="normalizeOptionForSlot(option)">
             {{ getOptionLabel(option) }}
@@ -224,6 +224,19 @@
         default: option => option,
       },
 
+      /**
+       * Decides wether an option is selectable or not. Not selectable options
+       * are displayed but disabled and cannot be selected.
+       *
+       * @type {Function}
+       * @param {Object|String} option
+       * @return {Boolean}
+       */
+      selectable: {
+        type: Function,
+        default: option => true,
+      },
+
       /**
        * Callback to generate the label text. If {option}
        * is an object, returns option[this.label] by default.
diff --git a/src/mixins/typeAheadPointer.js b/src/mixins/typeAheadPointer.js
index f6f946770..4eb2636d3 100644
--- a/src/mixins/typeAheadPointer.js
+++ b/src/mixins/typeAheadPointer.js
@@ -7,35 +7,46 @@ export default {
 
   watch: {
     filteredOptions() {
-      this.typeAheadPointer = 0
+      for (let i = 0; i < this.filteredOptions.length; i++) {
+        if (this.selectable(this.filteredOptions[i])) {
+          this.typeAheadPointer = i;
+          break;
+        }
+      }
     }
   },
 
   methods: {
     /**
      * Move the typeAheadPointer visually up the list by
-     * subtracting the current index by one.
+     * setting it to the previous selectable option.
      * @return {void}
      */
     typeAheadUp() {
-      if (this.typeAheadPointer > 0) {
-        this.typeAheadPointer--
-        if( this.maybeAdjustScroll ) {
-          this.maybeAdjustScroll()
+      for (let i = this.typeAheadPointer - 1; i >= 0; i--) {
+        if (this.selectable(this.filteredOptions[i])) {
+          this.typeAheadPointer = i;
+          if( this.maybeAdjustScroll ) {
+            this.maybeAdjustScroll()
+          }
+          break;
         }
       }
     },
 
     /**
      * Move the typeAheadPointer visually down the list by
-     * adding the current index by one.
+     * setting it to the next selectable option.
      * @return {void}
      */
     typeAheadDown() {
-      if (this.typeAheadPointer < this.filteredOptions.length - 1) {
-        this.typeAheadPointer++
-        if( this.maybeAdjustScroll ) {
-          this.maybeAdjustScroll()
+      for (let i = this.typeAheadPointer + 1; i < this.filteredOptions.length; i++) {
+        if (this.selectable(this.filteredOptions[i])) {
+          this.typeAheadPointer = i;
+          if( this.maybeAdjustScroll ) {
+            this.maybeAdjustScroll()
+          }
+          break;
         }
       }
     },
diff --git a/src/scss/modules/_dropdown-option.scss b/src/scss/modules/_dropdown-option.scss
index e25de00a2..474746dd3 100644
--- a/src/scss/modules/_dropdown-option.scss
+++ b/src/scss/modules/_dropdown-option.scss
@@ -16,3 +16,12 @@
   background: $vs-state-active-bg;
   color: $vs-state-active-color;
 }
+
+.vs__dropdown-option--disabled {
+  background: inherit;
+  color: $vs-state-disabled-color;
+
+  &:hover {
+    cursor: inherit;
+  }
+}
diff --git a/tests/unit/Selectable.spec.js b/tests/unit/Selectable.spec.js
new file mode 100644
index 000000000..881283469
--- /dev/null
+++ b/tests/unit/Selectable.spec.js
@@ -0,0 +1,53 @@
+import { selectWithProps } from "../helpers";
+
+describe("Selectable prop", () => {
+  it("should select selectable option if clicked", () => {
+    const Select = selectWithProps({
+      options: ["one", "two", "three"],
+      selectable: (option) => option == "one"
+    });
+
+    Select.vm.$data.open = true;
+
+    Select.find(".vs__dropdown-menu li:first-child").trigger("mousedown");
+    expect(Select.vm.selectedValue).toEqual(["one"]);
+  })
+
+  it("should not select not selectable option if clicked", () => {
+    const Select = selectWithProps({
+      options: ["one", "two", "three"],
+      selectable: (option) => option == "one"
+    });
+
+    Select.vm.$data.open = true;
+
+    Select.find(".vs__dropdown-menu li:last-child").trigger("mousedown");
+    expect(Select.vm.selectedValue).toEqual([]);
+  });
+
+  it("should skip non-selectable option on down arrow keyUp", () => {
+    const Select = selectWithProps({
+      options: ["one", "two", "three"],
+      selectable: (option) => option !== "two"
+    });
+
+    Select.vm.typeAheadPointer = 1;
+
+    Select.find({ ref: "search" }).trigger("keyup.down");
+
+    expect(Select.vm.typeAheadPointer).toEqual(2);
+  })
+
+  it("should skip non-selectable option on up arrow keyUp", () => {
+    const Select = selectWithProps({
+      options: ["one", "two", "three"],
+      selectable: (option) => option !== "two"
+    });
+
+    Select.vm.typeAheadPointer = 2;
+
+    Select.find({ ref: "search" }).trigger("keyup.up");
+
+    expect(Select.vm.typeAheadPointer).toEqual(0);
+  })
+})
diff --git a/tests/unit/TypeAhead.spec.js b/tests/unit/TypeAhead.spec.js
index 31a2f5777..6dcc6ab5d 100755
--- a/tests/unit/TypeAhead.spec.js
+++ b/tests/unit/TypeAhead.spec.js
@@ -18,7 +18,7 @@ describe("Moving the Typeahead Pointer", () => {
     expect(Select.vm.typeAheadPointer).toEqual(0);
   });
 
-  it("should move the pointer visually up the list on up arrow keyDown", () => {
+  it("should move the pointer visually up the list on up arrow keyUp", () => {
     const Select = mountDefault();
 
     Select.vm.typeAheadPointer = 1;
@@ -28,7 +28,7 @@ describe("Moving the Typeahead Pointer", () => {
     expect(Select.vm.typeAheadPointer).toEqual(0);
   });
 
-  it("should move the pointer visually down the list on down arrow keyDown", () => {
+  it("should move the pointer visually down the list on down arrow keyUp", () => {
     const Select = mountDefault();
 
     Select.vm.typeAheadPointer = 1;
@@ -47,7 +47,7 @@ describe("Moving the Typeahead Pointer", () => {
   });
 
   describe("Automatic Scrolling", () => {
-    it("should check if the scroll position needs to be adjusted on up arrow keyDown", () => {
+    it("should check if the scroll position needs to be adjusted on up arrow keyUp", () => {
       const Select = mountDefault();
       const spy = jest.spyOn(Select.vm, "maybeAdjustScroll");
 
@@ -57,7 +57,7 @@ describe("Moving the Typeahead Pointer", () => {
       expect(spy).toHaveBeenCalled();
     });
 
-    it("should check if the scroll position needs to be adjusted on down arrow keyDown", () => {
+    it("should check if the scroll position needs to be adjusted on down arrow keyUp", () => {
       const Select = mountDefault();
       const spy = jest.spyOn(Select.vm, "maybeAdjustScroll");