Tolkien-style hobbit homes yet to reach The Shire, but there's something at Mt Cotton

While The Hobbit movie continues to be a box office draw, some people are taking the next step into the magical world and building hobbit-esque homes.

We are all conscious of our carbon footprint in this day and age, but some people have decided to do their part by using the earth as building material – Property Observer looks at the three best hobbit homes from around the globe.

Located by the seaside in Atlantic Beach Florida, the Dune House (pictured above) was designed and constructed in 1975 by architect William Morgan.

As per its name, the Dune House was built inside a dune.

The wall shapes were inspired by Morgan’s experience in the navy and the curved walls of submarines.

With the shape in mind, Morgan built two cave-likes structures within the earth with large openings towards the oceanfront.

The 1,5000-square-metre Dune House is separated into two living quarters of one bedroom and one bathroom.

The property was recently listed for sale for $US1.4 million.

With the help from his father in law and visiting friends, Simon Dale built his hobbit-like home in Wales (pictured above) for his family over a period of four months and spent a total of £3,000, or $4,570 AUD.

Dale dug into the hillside for shelter and used stone and mud for the retaining walls and foundations.

The frame of the house was built from oak thinnings from the surrounding woodland, and straw bales were placed in the floor, walls and roof for insulation.

A skylight in the roof lets in natural sunlight, and solar panels are used for lighting, music and computing.

Dale said he is not a builder and this type of building is accessible to anyone. He only used a chainsaw, hammer and a one-inch chisel.

The philosophy of earth-sheltered construction is based on three fundamental principles, including energy saving, energy recovery and drawing energy from the environment.

Located in Big Sur California, architect Mickey Muennig mastered the eco-minded architecture more than 30 years ago before it became a fashionable trend.

The Cooper Point house (pictured above) blends in with the landscape – literally – with a roof of wild grass and California poppies.

The house is built like a bunker, with concrete retaining walls at both ends and all-glass walls in between.

Muennig developed his own style of design by experimenting with earth, stone, redwood and eccentric roof shapes.

The half-buried walls provide insulation and savings in energy, with the owner estimating a total of 50% savings on energy compared to a traditional house.

“It doesn’t require much maintenance, but sometimes we go up there with a weed whacker when it gets too shaggy,” the owner told WSJ magazine.

Kevin McCloud’s Grand Designs featured one endeavour with a two-storey house that burrowed backwards into rock in Eden in Cumbria around 2002.

Not much resembles hobbit houses in Australia – notwithstanding the mostly unappealing underground homes of Cooper Pedy. And a mud brick home or two that appeal to the few.

Australia does have a slightly forlorn-looking attempt at building an underground sanctuary in Brisbane’s Mount Cotton (pictured below).

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Built in 1985, the house is completely below the surface.

Owner Ian Bridge said he hasn’t needed to use air-conditioning since he moved in as the house creates its own micro-climates.

It is currently listed for sale seeking a $620,000-plus price after failing at its October 2012 auction.

Even in New Zealand there are not many real life examples, although jewellery tycoon Michael Hill did win awards for his The Hills golf club house, an innovative underground bunker-style building in 2008. But his plans to build 17 subterranean houses on and around the swish golf course in Central Otago don't appear to have eventuated.

One company ColFibrex is offering easily erected earth sheltered housing (artist's impressions below) that uses the insulation and stability of the surrounding earth, plants, rocks and trees to provide an even temperature throughout the year.

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The greenhouse system is assembled with prefabricated modules made of space-age resins and fibers.

You just have to tell them how you would like your house and within a few days it will be designed and all the necessary pieces will be shipped to you.