This is great!  I love how you've created a very old 'feel' to this story, and the mystique of the blind bard is well done.  I had not read that poem before, but I still understood the picture you were painting throughout - to see it at the end was a surprise!  An ugly elf is quite different, but very effective and convincing - especially when contrasted to his voice!  Poor, poor Maglor.  Am I right in supposing that he gouged his own eyes out?   

And since you requested concrit:

I doubt they actually breed the mountain goats - it sounds a lot more as if the mountain goats are still wild.  You might want to reconsider your word choice here, if they are not tame. 

While part of me *really* liked seeing songs I already knew (the lay from Cormallen, 'Gil-galad was an elven king...'), it would have been nice to hear an original composition at some point.  We never heard any of the blind bard's songs.  I realize that is a tall demand to make, but I am sure you could pull it off :)

The voice of your narrator is perfect for someone who had a rude upbringing in the outskirts of Rohan.  But he does not sound quite...poetic...enough for a bard.  I think it was the repetition towards the beginning that threw me.  I understand there is a dichotomy in his character - I just wanted to give you some feedback on how he sounds, as a first impression. 

I liked the framing device of him telling the young prince how he became a harper.  It added layers of history to this story.