Configuring Permissions for a "home" directory referenced in Active Directory Users & Computers on the Profile tab.

1. Specify Read access for the domain users group the the root drive (commonly C:\)
2. Create a group for the people that will have a home directory and add those users to it.
3. Create a share for the "home" directory anywhere you'd like.
4. Give the group deny list permissions on the security tab but for the share permissions give the same group change and read permissions.
5. Specify the home directory in AD users & Computers specify (properties of user, profile tab) it as \\server name\share name\%username%

the fifth step will automatically create the folder and give that person exclusive permissions.