I love it! In my opinion, it had more the feel of a fairy-tale to me. During the first third I truly thought you were writing a LOTR-version of Hänsel and Gretel:) At least it helped me see the villagers as the bad guys from the beginning. LOL.
I really like the idea of the curse - also the underlying culture of that village. That of course has a horror-connection, at least to me, insofar as it reminds me a little of "Pet Cemetery". Hell, that was one creepy movie!
And do I have to tell you that I adored wolf!Aragorn? I'm also thankful that you didn't kill of Aragorn for good - that tends to give me depressions. So, killing him and having him turn into an animal? What an idea! It's amazing!
And lastly, I give you Fireball. That's not his name of course, but I've mourned the fact that I didn't call him Strider (once he turned out to be a smelly and grungy cat who's a good hunter it was clear that the name would have fit). But he likes to lie on people's bellies. So...
Hänsel and Gretel... LOL... spilled my tea just now over my keyboard when I read that... I could never have done that if I'd aimed for it :-). But I see what you mean! Hehe... I've never seen 'Pet cemetry' though..., like I said, Buffy or if I close my eyes at some... uh... most ;-)... scenes something like X-files are as 'horror-y' as I can endure ;-). No wonder I can not really write horror-scenarios :-). Maybe I should change the genre for this, to not confuse people.
I hoped you'd have fun with the wolf-Aragorn thingy :-)...
And thanks for 'Fireball'! He looks just perfect :-). Grin... and from your description Strider would indeed have been a good name ;-).