The large owl is extremely wise and knows greatly about the history and current dealings of The Legend of Zelda: Ocarina of Time. Kaepora Gaebora will offer to bring Link back to his predetermined desired location. After the seven years have past, Kaepora Gaebora is still flying around Hyrule, and can be seen on occasions, such as when Sheik teaches Link a new song.
A common frustration with him is having to listen to his dialog cutscenes, pressing A after the dialog box fills. After the dialog has concluded, he will ask you if you understood or whether you want to hear it again. Impatient players who are constantly pressing A will accidentally have him go through the dialog again, as the default choice when he asks you that question is the choice to hear it again. Some of his dialog cutscenes are optional.