Pipspooks are neutral Mobs that can be found near Headstones. They have a chance to appear close to a Headstone every day if there is no other Pipspook nearby. The chance of appearing is 5%, increasing by an additional 5% for every Wendy in the server after the first.
Each Pipspook has 3 to 5 Lost Toys associated with it. A Lost Toy only appears when Wendy is close to it and assisting a Pipspook. When the Lost Toy is far away, the Pipspook indicates the direction it's in with its movement. When a Lost Toy is close, the force of the pulse on the head of the Pipspook indicates the proximity of it, with larger pulses corresponding to being closer.
When a Lost Toy is found, the Pipspook rewards Wendy with 1 Mourning Glory for the first lost toys and 4 Mourning Glories for the last lost toy. The Pipspook disappears when the last lost toy is found.