"Goes to scan /home and hangs."
You can boot into your system by temporarily disconnecting /home. Boot a rescue system. (I think that there is one on your Red Hat install CD.) Mount your / partition and edit /etc/fstab to comment out the line for /home. Umount / and then reboot into your system. You should be running without /home. Log in as root and start working on repairing your /home partition if possible.
If not, then format the /home partition, uncomment /home in /etc/fstab, and reboot. Then you will have to recreate all of your users.
Be prepared. Create a LifeBoat CD.