just my $0.02:
don't absolutely don't ever work as root in your X desktop.
Maybe it was easy to drag a home folder, but nothing prevents you from dragging a dev folder. If linux ever gets spyware, viruses, or a bug in your browser is exploited, nothing will stop the software from hurting your system. (you'll have the security of an Windows 9x system!)
Rather try this in a konsole window:
<enter root password>
mv /home/yourname /backup
chown yourname:users /backup
chmod 711 /home/yourname
(or chmod go-rw /home/yourname)
that would do the same too
as root, I've made certain other data folders where users could store files, like downloads and multimedia files. This shared folder created with:
chmod go+w /data/
chmod +t /data
this allows everyone to write into the /data/ folder, but not remove each others files.
btw, I'd keep the hidden files hidden at Linux (and visible at Microsoft Windows). they are different worlds with different rules/practices.