diff --git a/fs/fs.go b/fs/fs.go
index 2dc68e3..8be2017 100644
--- a/fs/fs.go
+++ b/fs/fs.go
@@ -108,6 +108,13 @@ func NewFilesystem(name string, user *user.User, basePath string, log *logging.L
 	return fs
 }
 
+func (fs *Filesystem) GetHomeDir() (string, error) {
+	if fs.user == nil {
+		return "", fmt.Errorf("Home directory not set")
+	}
+	return fs.user.HomeDir, nil
+}
+
 /*
 func xcreateEmptyDirectories(base string, paths []string) error {
 	for _, p := range paths {
diff --git a/oz-init/init.go b/oz-init/init.go
index dac4631..a96476c 100644
--- a/oz-init/init.go
+++ b/oz-init/init.go
@@ -304,6 +304,12 @@ func (st *initState) handleRunShell(rs *RunShellMsg, msg *ipc.Message) error {
 	if rs.Term != "" {
 		cmd.Env = append(cmd.Env, "TERM="+rs.Term)
 	}
+	if msg.Ucred.Uid != 0 && msg.Ucred.Gid != 0 {
+		if homedir, _ := st.fs.GetHomeDir(); homedir != "" {
+			cmd.Dir = homedir
+			cmd.Env = append(cmd.Env, "HOME="+homedir)
+		}
+	}
 	cmd.Env = append(cmd.Env, "PATH=/usr/bin:/bin")
 	cmd.Env = append(cmd.Env, fmt.Sprintf("PS1=[%s] $ ", st.profile.Name))
 	st.log.Info("Executing shell...")