By the village in Borgarfjörður eystri
720, Borgarfjörður (eystri)
Right by the village, the legally protected hill of Álfaborg, which the "fjord of Borg," Borgarfjörður eystri
, is named after, rises about 30 m high. Accessed by an easy trail and with an observation point on top, Álfaborg is home to the queen of the Icelandic elves. In addition, Borgarfjörður has numerous stories of relations between its elfin and human residents. Many places are connected with elves and "hidden people," including the church of the elves kirkjusteinn: a huge, appropriately shaped rock in Kækjudalur valley.
Several stories tell of trolls in the mountains.