LOTR: Why Does Lobelia Sackville Baggins Give Bag End Back To Frodo After The War Of The Ring?

gamerant.com:

Hobbits are quaint creatures, who love to live simple lives in the countryside, eating good food, smoking pipe-weed and throwing grand birthday parties so that they can give out all of the old gifts they have stored up in their hobbit-holes. This all changes for Bilbo Baggins when Gandalf the Grey wizard invited an unruly band of dwarves into his home and whisks him away in the early hours of the morning to go off on an adventure across Middle Earth to reclaim Erebor, the kingdom under the Lonely Mountain.

Before Gandalf came along and stirred up those Tookish longings, the biggest trouble that Bilbo had ever experienced was his cousins Otho and Lobelia Sackville Baggins, who would constantly pester him to get possession of his house, Bag End. This started even before his quest, after which point the halls of Bag End were said to be full of hidden gold from the dragon hoard, which only made Lobelia’s greed even more covetous.

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Lobelia is absolutely thrilled then, at the start of the Fellowship of the Ring, when Frodo Baggins finally signs over the deed to Bag-End to her so that he can go on his own quest to destroy the ring of power in the fires of Mount Doom before the evil Sauron can get his hands on it. When she arrives at the house to claim it, she professes ‘“Ours at last!” It was not polite, nor strictly true, for the sale of Bag End did not take effect until midnight. But perhaps Lobelia can be forgiven: she had been obliged to wait about seventy-seven years longer for Bag End than she had once hoped, and she was now a hundred years old.’ The greedy old hobbit and her son Lotho have finally received the place that they have badgered so hard to get for all