The Wailing Banshee is a side quest in Pillars of Eternity.
Synopsis
Niah, a woman from New Heomar, paid good coin for the old Lighthouse in Ondra's Gift, hoping to develop it into an inn. However, by the time she realizes that the lighthouse is haunted, the seller is already long gone. Close to giving up after weeks of being unable to find any workers brave enough to renovate the place, she asks for the Watcher's help in clearing out the building.
Walkthrough
On the docks in the south-west portion of Ondra's Gift you will find Niah looking to hire someone for a task. She is trying to renovate the old lighthouse ruin to the west of her, but rumor of its haunting has driven away any laborers. She would like someone to take a look around the lighthouse to prove it is safe for work to begin. Accept the quest, and she will give you the key to the lighthouse.
Head into the lighthouse and make your way up to the third floor. Loot what you find on your way, don't miss the loose brick on the first floor, but beware of two scripted ambushes with numerous spirit creatures.
Once you arrive on the top floor you will find Lilith, the wailing banshee that haunts the lighthouse. From here, there are two ways to complete the quest:
- Kill Lilith
Getting too close, ignoring her threats, or attacking Lilith will start a fight. This can be very difficult for a low-level party. Several shades and spectres come to Lilith's aid and her wail can paralyze your characters. Once you have managed to defeat them all, head back down to Niah who is waiting just outside the lighthouse. Give her the "all clear" and claim your reward.
If you're not able to convince Maerwith to come to the lighthouse (see below), you will have to fight Lilith when you return and talk to her.
- Release Lilith from her pain
You might observe Lilith and get hints on what to do next (1st Perception check, 18 required), you might even come closer (2nd Perception check, 15 required) – but watch out for signs of threats, and back away. Search the area to find a Logbook that mentions a ship called Red Dream. Reading it and the Evacuation Notice found on the previous floor will reveal some background information. In a chest behind Lilith (to the west) you can find Lilith's Shawl (Perception +3).
After you observe Lilith, you can leave the lighthouse and speak with Niah just outside. She directs you to The Charred Barrel in Brackenbury, where you find Maerwith on the upper floor. Don't be provocative or uncaring and you'll convince Maerwith to visit Lilith in the lighthouse.
Return to Niah to claim your reward.
Note
If you return to the lighthouse a few days after completing the quest, Niah will have converted the ground floor into The Wailing Banshee Tavern.