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Balloon presents can be seen drifting through town. They appear as a white present tied with a red bow, hanging from a balloon. These can be shot down with a slingshot and sometimes captured with a net or shovel (explained later).
Where to find balloon presents
More of a when. It happens whenever the time on the clock ends with a 5 or 9. If your sound is turned up enough you might be able to hear the wind of the balloon flying by.
Catching a balloon present with a net or shovel
If the player does not have a slingshot, there's still a way to knock the presents down from balloons. First, the player should find a balloon. If it's drifting towards a cliff (depending on the layout of the town, there will be a cliff to the east or the west) they are in luck. Wait for the balloon to reach the cliff.
As it passes the cliff, the balloon will lower. The player should get within range of it with a net or shovel out, and use the net or shovel as if they were hitting a villager. The balloon should pop, and the present will drop to the beach below. If the player misses, they will have a moment or two to try again.
This strategy will not always work, as the balloon may be heading in the direction away from the cliff. If so, the player will have to wait and try again with a balloon heading the other way.
After you pop a balloon with a present and not a slingshot attached then you can pick it up and open it but when you do you get either a piece of the balloon set or a random piece of furniture. You may even get one of the silver or golden slingshot. What is inside balloons? There is a set of balloon furniture that will come from the balloons, and once all of the balloon furniture has been obtained, you can begin collecting random furniture from balloons. There are 16 pieces of furniture in the balloon set, including the balloon hat.