"Indeed," said Grettir, "I think you have done me a manly service; whenever I can I will repay it."
"Now I wish," said Hallmund, "that you may come to my home, for it must seem wearisome to you here on the Heath."
Grettir said he would come willingly, and they both went together to the foot of the Balljokull, where Hallmund had a large cave. There they found his daughter, a fine and well-grown maiden. They treated Grettir well, and the daughter nursed both the wounded men to health again. Grettir stayed there some time that summer. He composed an ode on Hallmund in which the line occurs:
"Hallmund steps from his mountain hall";
further:
"The war-fain sword in Arnarvatn
went forth to hew its bloody path.
Heroes inherit Kelduhverfi.
Hallmund the brave came forth from his den."
It is said that at that encounter Grettir slew six men and Hallmund twelve.
As the summer passed Grettir began to long for the habitations of men, and to see his friends and kinsmen. Hallmund told him to visit him when he returned to the South and Grettir promised to do so. He went westwards to Borgarfjord and thence to Breidafjardardalir and sought counsel of Thorsteinn Kuggason as to where he should go next. Thorsteinn said that his enemies were now becoming so numerous that few would care to take him in; but told him to go to Myrar and see what he found there. So in the autumn he went to Myrar.