The Borgarfjörður region is known for its great natural beauty. The village has around 100 inhabitants. Borgarfjörður is famous for the good hiking trails named "Víknaslóðir" leading to the deserted fjords and coves, Víkur, and to Loðmundarfjörður. The area has become a hiker's paradise with local people marking numerous trails (1 hour to 1 day long, depending on the trail), comfortable hiking huts and good hiking maps. Borgarfjörður is said to be the home of the Queen of Elves. It is possible to walk to the hill "Álfaborg" - "The Elves' Castle" where the queen of the Icelandic elves allegedly resides with her court. The "Álfacafé" ("Elf Café") is worth a visit for trying out the local fish-dishes. A visit to the fish factory as a worthwhile experience or a glance at some of the beautiful hand-made crafts by the local artists. In Borgarfjörður and at Hafnarhólmi (by the harbour), there are excellent facilities for bird-watching, namely a special hide at the harbour from which over twenty species have been sighted at once.