Install your first row of blocks on top of your footer. Mix up some concrete mortar in your wheelbarrow and shovel it on top of the footer at least an inch thick. Space the blocks out at least a half inch and use the mason trowel to put mortar between the blocks. Set the blocks on top of the mortar bed. Tap them against each other with the mallet, then tap them down into the mortar bed slightly, using the level to help guide you.
Apply three-quarters of an inch of mortar on top of the first row of blocks with the mason trowel. Set the next row of blocks on top of the first. Fill the gaps between the blocks with mortar and tap them into place. Repeat the process as you work your way up the wall. Check the wall for plumb every few rows with the level and adjust as necessary.
Work your way up the wall at least three or four rows. Cut your rebar down to the finish height of the wall with an angle grinder. Place the rebar into the wall at least every 18 inches, up to a maximum spacing of 48 inches. Slide the rebar into place through the holes in the interior of the block. Shovel mortar into the holes to surround the rebar and hold it in place.
Layer your wall row by row as you work your way up. Slide blocks into place on top of the rebar by hold them up over the rebar, slotting the top of the rebar through the holes in the blocks and then lowering them into place. Fill individual spacing with mortar around the block sections that have the rebar passing through them, row by row, until you are finished.