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iPhone repair BXL
Go to Settings > General > Accessibility and switch on Assistive Touch. This gives you a virtual Home button on the screen which works in exactly the same way as the real one. It's how I'm using mine at the moment. Can't be bothered to get my 3GS repaired as I'll get a 5 when it comes out later this year.
There's a small repair shop in Gallerie Louise, he fixed it when my sim card mechanism broke once. Whether he can fix the Home button however, I wouldn't know..