Some administrators prefer to do everything manually, other automated. I have always preferred to have as much as possible automated or at least set up with a script so the action can easily be repeated without varying end results.

I have written a script which verifies that all users that should have a home folder has one, and that it has the appropriate permissions.
If you use ADUC to set a home folder it per default gives the user Full Permissions, this is not optimal because it gives the end user the ability to change the permissions on their folders. I always prefer to give them Modify instead.

And sometimes the folder has mysteriously not been created on the server, or been deleted. This script will also fix that.

#  User Home Directory Permissions - 2013-01-15
#  Created a home folder for users who does not have one and sets correct permissions.

# Loading modules
Import-Module ActiveDirectory


$Content = (Get-ADUser -Server $DC -filter * -Properties * -SearchBase $OU | select SamAccountName, HomeDirectory )

FOREACH ($ID in $Content) {
    $User = $ID.SamAccountName
    $Folder = $ID.HomeDirectory
    # Check if the user has a HomeDirectory.
    If (($User -ne "SamAccountName") -and ($Folder)) { 
        # Check if folder exists, if not it created it.
        If ((Test-Path $Folder) -ne $true) {
            Write-Host $User " HomeDirectory does not exist. Creating..."
            New-Item -ItemType directory -Path $Folder
            icacls $Folder /grant $User`:`(OI`)`(CI`)M
        # Check if permissions are F (Full)
        $Icacls = icacls $Folder 
        $Match = "*" + $User + ":(F)*"
        $IcaclsResult = $Icacls -like $Match
        If ($IcaclsResult) {
            Write-Host $User " HomeDirectory has incorrect permissions. Resetting..."
            icacls $Folder /remove:g $User
            icacls $Folder /grant $User`:`(OI`)`(CI`)M

If this helped you or if you need assistance adjusting it let me know.