Answer:
The Hobbit opens at Bilbo’s house, which is located in the Middle Earth village of the Shire. These words and phrases from the novel describe the setting of Bilbo’s house:
hole in the ground
round door painted green
shiny yellow brass knob
tube-shaped hall
polished chairs
These words and phrases describe the Shire, the village in which Bilbo lives:
the Hill
over the Water
the sun was shining
the grass was green