Super craft master enchantedwhimsies made these awesome hobbit feet for her son, and she put together a nice tutorial to show you how to make them!
Here is what I started with. They are are called Funny Slipper Feet and I got them online for about $10 then cut them up, painted them, attached to Van-style slip on sneakers & wigged them.
This actually seems fairly simple, though it takes someone with skill to paint them as well as she has. These are awesome hairy hobbit feet, very well done!