I think one of the coolest parts is when the guy tries to kill Margret. On my 1st character I watched what would happen, but it felt heroic being able to step in the next time and backstab the backstabber.

ah, ty.

Just thought I'd mention that the quest that starts with witnessing the murder in Markath has one of the worst bugs in the game, so you need to be careful to keep a save before you start it, and probably keep a couple of saves while doing it as well.

Going back to the topic, I love Markath ... and I get the real sense that it's the "city for Morrowind fans".