Comment 25 for bug 313812

More side effects working with encrypted homes:

1) The same side effect explained above between user1 and user2 happens if user2 is a privileged user and if user2 has his home directory encrypted.

2) If you have your home encrypted, accessing remotely with ssh is not possible if you demand using private & public keys (setting PasswordAuthentication = no in the file /etc/ssh/sshd_config ), because the sshd daemon has to access ~/.ssh/authorized_keys file in a directory which is not yet mounted.

IMHO, home directory encryption is still unreliable and it should be userd with care. In its current state, it only protects after rebooting the machine ( please tell me if this observation is wrong ), and consequently only protects from a disk or machine physical theft.