IN A HOLE IN THE GROUND...
Hobbits are short humanoid creatures that live in underground shelters often called, quaintly enough, "hobbit holes." Most of the species have brown, curly hair covering their heads and their feet. Rather unadventurous, hobbits prefer to stay inside their own communites rather than spread out.
Hobbits are first mentioned by the author J.R.R. Tolkien, who created them and made them the main characters of his books series, "The Lord of the Rings." Although criticized for being a "fairy tale", "The Lord of the Rings" is much darker and more adult than a children's story.
IF YOU SEE A HOBBIT:You are lying. No such thing exists, and has probably never existed. If you're not lying, then you were probably drunk at the time. And if this is not the case, you are extremely lucky. So lucky, infact, that you have beat an infinity-to-one chance of seeing a hobbit. Take a picture, sell it to one of those tabloid magazines, and buy yourself a life. Congratulations, you deserve it.