Okay I can finally answer that question. I always thought of it as "Fair" in my head but I did a little research and discovered that "Fair-ay" might fit the language better. Falmer is very close to the other Elvish languages (called Ayleidoon) of the Elder Scrolls universe. The only instance of an "e" following a words is in this word here: [i]Umarile[/i] which is pronounced as "OOH-ma-rill-ay", and seeing as the last syllable is the stand alone "e", it makes sense. 

Agarwen is easy "Ah-gar-wen"