diff --git a/docs/changelog.rst b/docs/changelog.rst
index 4df4a69fa..8d333d8f1 100644
--- a/docs/changelog.rst
+++ b/docs/changelog.rst
@@ -22,6 +22,7 @@ Fixed
 - Bug in `MeshModel.get_mesh` after xugrid update to 0.9.0. (#848)
 - Bug in `raster.clip_bbox` when bbox doesn't overlap with raster. (#860)
 - Allow for string format in zoom_level path, e.g. `{zoom_level:02d}` (#851)
+- Fixed incorrect renaming of single variable raster datasets (#883)
 
 v0.9.4 (2024-02-26)
 ===================
diff --git a/hydromt/data_adapter/rasterdataset.py b/hydromt/data_adapter/rasterdataset.py
index 0202d0081..d82302c19 100644
--- a/hydromt/data_adapter/rasterdataset.py
+++ b/hydromt/data_adapter/rasterdataset.py
@@ -301,6 +301,7 @@ def get_data(
         """
         try:
             # load data
+            variables = list([variables]) if isinstance(variables, str) else variables
             fns = self._resolve_paths(
                 time_tuple, variables, zoom_level, geom, bbox, logger
             )
@@ -310,6 +311,7 @@ def get_data(
                 geom,
                 bbox,
                 cache_root,
+                variables=variables,
                 zoom_level=zoom_level,
                 logger=logger,
             )
@@ -340,9 +342,10 @@ def get_data(
             ds = self._set_metadata(ds)
             # return array if single var and single_var_as_array
             return self._single_var_as_array(ds, single_var_as_array, variables)
-        except NoDataException:
+        except NoDataException as e:
+            postfix = f"({e.message})" if e.message else ""
             _exec_nodata_strat(
-                f"No data was read from source: {self.name}",
+                f"No data was read from source: {self.name} {postfix}",
                 strategy=handle_nodata,
                 logger=logger,
             )
@@ -350,7 +353,7 @@ def get_data(
     def _resolve_paths(
         self,
         time_tuple: Optional[TimeRange] = None,
-        variables: Optional[Variables] = None,
+        variables: Optional[List] = None,
         zoom_level: Optional[int] = 0,
         geom: Optional[Geom] = None,
         bbox: Optional[Bbox] = None,
@@ -374,6 +377,7 @@ def _read_data(
         bbox: Optional[Bbox],
         cache_root: Optional[StrPath],
         zoom_level: Optional[int] = None,
+        variables: Optional[List] = None,
         logger: Logger = logger,
     ):
         kwargs = self.driver_kwargs.copy()
@@ -422,6 +426,9 @@ def _read_data(
                     # NOTE: overview levels start at zoom_level 1, see _get_zoom_levels_and_crs
                     kwargs.update(overview_level=zoom_level - 1)
             ds = io.open_mfraster(fns, logger=logger, **kwargs)
+            # rename ds with single band if single variable is requested
+            if variables is not None and len(variables) == 1 and len(ds.data_vars) == 1:
+                ds = ds.rename({list(ds.data_vars.keys())[0]: list(variables)[0]})
         else:
             raise ValueError(f"RasterDataset: Driver {self.driver} unknown")
 
@@ -470,7 +477,7 @@ def _set_crs(self, ds: Data, logger: Logger = logger) -> Data:
     @staticmethod
     def _slice_data(
         ds: Data,
-        variables: Optional[Variables] = None,
+        variables: Optional[List] = None,
         geom: Optional[Geom] = None,
         bbox: Optional[Bbox] = None,
         buffer: GeomBuffer = 0,
@@ -511,12 +518,10 @@ def _slice_data(
                 ds.name = "data"
             ds = ds.to_dataset()
         elif variables is not None:
-            variables = np.atleast_1d(variables).tolist()
-            if len(variables) > 1 or len(ds.data_vars) > 1:
-                mvars = [var not in ds.data_vars for var in variables]
-                if any(mvars):
-                    raise ValueError(f"RasterDataset: variables not found {mvars}")
-                ds = ds[variables]
+            mvars = [var for var in variables if var not in ds.data_vars]
+            if len(mvars) > 0:
+                raise NoDataException(f"Variables {mvars} not found in data.")
+            ds = ds[variables]
         if time_tuple is not None:
             ds = RasterDatasetAdapter._slice_temporal_dimension(
                 ds,
diff --git a/tests/test_data_adapter.py b/tests/test_data_adapter.py
index afded1754..f862c60f9 100644
--- a/tests/test_data_adapter.py
+++ b/tests/test_data_adapter.py
@@ -73,12 +73,21 @@ def test_rasterdataset(rioda, tmpdir):
     fn_tif = str(tmpdir.join("test.tif"))
     rioda_utm = rioda.raster.reproject(dst_crs="utm")
     rioda_utm.raster.to_raster(fn_tif)
+    fn_nc = str(tmpdir.join("test.nc"))
+    rioda_utm.to_netcdf(fn_nc)
     data_catalog = DataCatalog()
+
     da1 = data_catalog.get_rasterdataset(fn_tif, bbox=rioda.raster.bounds)
+    assert da1.name == "test"  # name is taken from file name
     assert np.all(da1 == rioda_utm)
-    geom = rioda.raster.box
-    da1 = data_catalog.get_rasterdataset("test.tif", geom=geom)
+    assert "test.tif" in data_catalog.sources
+
+    da1 = data_catalog.get_rasterdataset("test.tif", geom=rioda.raster.box)
     assert np.all(da1 == rioda_utm)
+
+    ds1 = data_catalog.get_rasterdataset(fn_tif, single_var_as_array=False)
+    assert isinstance(ds1, xr.Dataset)  # test single_var_as_array=False
+
     with pytest.raises(FileNotFoundError):
         data_catalog.get_rasterdataset("no_file.tif")
     with pytest.raises(NoDataException):
@@ -90,9 +99,13 @@ def test_rasterdataset(rioda, tmpdir):
         bbox=[12.5, 12.6, 12.7, 12.8],
         handle_nodata=NoDataStrategy.IGNORE,
     )
-
     assert da1 is None
 
+    da1 = data_catalog.get_rasterdataset(fn_tif, variables=["temp"])
+    assert da1.name == "temp"  # tif is renamed to variable name
+    with pytest.raises(NoDataException):  # nc variables are not renamed
+        da1 = data_catalog.get_rasterdataset(fn_nc, variables=["temp"])
+
 
 @pytest.mark.skipif(not compat.HAS_GCSFS, reason="GCSFS not installed.")
 def test_gcs_cmip6(tmpdir):