In Windows 7, the HomeGroup feature makes home networking easier by letting you set up a simple password protected network with other Windows 7 systems through which you can easily share printers and folders located anywhere on your system including those that belong to individual accounts. You only need to enter the network password once, when you join the Windows 7 system to the HomeGroup.
The HomeGroup feature is found in every version of Windows 7, but there are a couple of important caveats to be aware of. First, systems with Windows 7 Starter (available mainly on netbooks and other low-end systems) only let you join a HomeGroup, not create one. Second, Windows 7 systems that are members of a domain can also join a HomeGroup, but only for purposes of accessing resources other systems are sharing for security reasons, a domain member can’t share its own data with a HomeGroup.
See also Make Home Networking Easier with Windows 7 HomeGroups on PracticallyNetworked.com.