Islands Olafseyjar have only temporarily been occupied the whole year round.  They are, however, more inviting than many other islands, which were inhabited for centuries.  The distance between the islands and islets of this group of islands is short and the panoramic view of the whole bay is excellent.  The farms Skard and Budardalur in the Skardstrond Area exploited the islands for hay making and sometimes the workers were left there during winter to process the wool and take care of the cattle and sheep left there with them.

The house still standing on Island Olafsey was built just after the turn of the 19^th century and was used for this purpose until 1914. The largest islands are Baejarey and Olafsey.  Island Holey to the west of Island Baejarey is high and more prominent than the others.  It is connected with the Grettis Saga by the legend about the so-called Grettisgja.