So I went back in with your feedback in hopes to improve the original concept. Thanks for the positive words and the constructive criticism. Here are some of the changes I've made:
• The number one biggest complaint was that the icons were way too large, and it was a poor use of space. I've remedied that by shrinking the icons, and adding a home settings bar at the bottom that allows you to adjust your home preferences to your liking. Some wanted to be able to sort by alphabetical, and others liked a custom sorting. You can also scale the icons back to the original larger setting, or make them even smaller.
• I've removed the tag holes on the edge of the icons as it was confusing to some.
• I've added more emphasis around the selected item
• Other random minor tweaks and changes, plus I've created a Zelda theme, as many have been hoping we'd be able to change themes you can on the 3DS.
Bear in mind, my initial idea was that I wanted to design something that was easy to use when touching physically with your finger as it is using a joystick/controller. I hope you guys enjoy this version.
Here are the full quality links: NS Home Menu Concept v2 – Stock Red
Original: NS Home Menu Concept v1 on Reddit
Discussion started at here by rodkar