How to Fix “Windows Can’t Set Up Homegroup on This Computer”

HomeGroup has been removed from Windows 10 (Version 1803). Regardless, in previous OS versions and builds, it is still a good way to share files over the internet. The process of setting up and joining a homegroup is quite easy, but sometimes you may not be able to create a homegroup.

This usually occurs because some necessary services are not running or conflicts due to the previous homegroup or computers on the network. In such cases, you get the error message “Windows can’t set up a homegroup on this computer.”

Causes for “Windows Can’t Set Up Homegroup on This Computer”

How to Fix “Windows Can’t Set Up Homegroup on This Computer”?

There are a few things you can try to solve this problem. First, make sure you have the correct date/time setting. Then, follow the possible solutions below to resolve your issue.

Run Homegroup Troubleshooter

Windows includes troubleshooters to check and repair any errors in its system components. The homegroup feature also has a separate troubleshooter, which you can run whenever you encounter any issues with the process.

Here’s how you can do so:

1. Press Win + I to open the Settings app.
2. Go to Update & Security and then Troubleshoot.
3. Click on HomeGroup and select Run this troubleshooter.
   
4. Follow the on-screen instructions.

The troubleshooter should fix any issues with the process. If it can’t, it’ll say either what is causing the issue or that it couldn’t detect any issues. You can move on to the exact solution if you know the reason.

Check Service Configuration

You should also make sure that the services necessary for setting up a homegroup have the proper configuration. Otherwise, you can’t set up the group at all.

Here’s what you need to do:

1. Open Run by pressing Win + R.
2. Enter services.msc to open Windows Services and look for Function Discovery Provider Host.
3. Double-click on it to open its Properties.
   
4. Set the Startup type to Manual.
   
5. Go to the Log On tab.
6. Check This account and enter Local Service in its text box.
   
7. Click OK.
8. Now, perform steps 3-7 for the following services as well (in this order):
   • Function Discovery Resource Publication
   • HomeGroup Listener
   • Peer Networking Identity Manager
   • Peer Name Resolution Protocol
   • Peer Networking Grouping
   • HomeGroup Provider
9. After that, change the Startup type of the following services to Automatic (in the given order):
   • DCOM Server Process Launcher
   • RPC Endpoint Mapper
   • Remote Procedure Call (RCP)
   • Network Store Interface Service
10. Now, go to Network List Service Properties, set its Startup type to Manual, and Log On to This account > Network Service.
    
11. After that, Open Run again and enter cmd to open Command Prompt.
12. Enter the following commands to set the startup type of HTTP service to Automatic and start it:
    • sc config http start=auto
    • net start http /y
      
13. Then, go back to Windows Services, right-click on Peer Networking Grouping service, and select Start.
    

Now, try setting up the homegroup again and see if it works.

Shut Down Other Computers and Create Homegroup

Another thing you can try is to shut down all computers on the network except the PC where you want to create a homegroup. Sometimes other computers may also be sending invitations to your PC and interfering with the process.

Here are the detailed steps you need to perform that also contain additional steps to increase the chances of success:

1. Shut down other computers on the network.
2. Disconnect the Ethernet cable or turn off Wi-Fi for 30 seconds and reconnect them.
   
3. Restart the computer (where you are setting up homegroup) and wait a few minutes for Windows to set everything up.
4. Open the Control Panel/Settings and create a homegroup.

After successfully setting up the group, wait a few more minutes. Then, power up the devices you want to connect to this homegroup one at a time and join the group.

Change Permissions of MachineKeys Folder

The MachineKey folder stores the certificate keys on your system that the Internet Information Services use for authentication. You can’t start a homegroup if your account does not have permission to use this folder. In fact, you can’t even start the Peer Networking Grouping service necessary for setting up the group without sufficient permissions.

Here’s how you can change the Permissions of the folder.

1. Open Run and enter %programdata%\Microsoft\Crypto\RSA
2. Right-click on MachineKeys and select Rename.
   
3. Set its new name to MachineKeys.old and press Enter. Confirm if prompted. This is to create a backup, as improperly changing Permissions can create many issues. The MachineKeys folder may also contain certificate keys for other processes as well.
4. Right-click on an empty area in the folder and select New > Folder.
5. Set its name to MachineKeys.
6. Right-click on the MachineKeys folder you just created and select Properties.
7. Go to the Security tab.
8. Select Everyone and click on Edit.
   
9. Click on the checkbox for Full control under Allow and click OK.
   
10. Click OK again to apply the changes and exit Properties.

After that, start the Peer Networking Grouping service and set up the homegroup.

Delete PeerNetworking Folder Files

The PeerNetworking folder contains the files of a homegroup. If you had previously created a homegroup from your computer or joined with one, its residual files may still be present in the folder.

These files can conflict with setting up a new homegroup, so you need to delete them before initiating the process. Here’s how you can do so:

1. Open the File Explorer and navigate to C:\Windows\ServiceProfiles\LocalService\AppData\Roaming\PeerNetworking
2. You need to go through each folder instead of entering the path on the address bar, as you need to give permission to your user to access the LocalService folder.
3. Search for and delete the idstore.sst file.
   
4. If you haven’t left the previous homegroup, leave it through the Control Panel/Settings.
5. Perform these steps on all computers in the homegroup.

Now, create a homegroup while shutting down all other computers and see if it works. If it doesn’t, delete all the contents of the PeerNetworking folder and try again.

Change Computer Name

You can also try changing your computer name to prevent any conflicts with residual files or other computers on the network. To do so,

1. Open Settings and go to System > About.
2. Click on Rename this PC, enter a name and select Next. Enter your credentials if necessary.
   
3. Restart your PC to apply the change.

Then, try creating a homegroup again and check if the issue resolves.

Enable IPv6

Even if your network doesn’t use IPv6 routing, you still need to enable IPv6 on your computer to set up or connect to a homegroup. You can also get the error “Your network connection must have IPv6 enabled to create or join a homegroup” if the service is not enabled on your PC. To enable IPv6,

1. Open Run.
2. Type cmd and press Ctrl + Shift + Enter to open the Elevated Command Prompt.
3. Enter the following commands:
   • REG DELETE HKLM\SYSTEM\CurrentControlSet\services\TCPIP6\Parameters /v DisabledComponents /f (don’t worry if it shows “ERROR: The system was unable to find the specified registry key or value.” Enter the next command anyway)
   • REG ADD HKLM\SYSTEM\CurrentControlSet\services\TCPIP6\Parameters /v DisabledComponents /t REG_DWORD /d 0 /f
     

Then, restart your PC and check if you still encounter the error.