Don't think that's true. Friend had a (has) 3GS and she had minor water damage and lost her home button, she went into apple and they put a "virtual" home button on the screen, it was accessed from settings, sure someone can tell you how
Found it. Assistive Touch in settings. It places a trigger on your screen to open up a menu of buttons. Learned something new. I always thought it required a plugin device to use
Tried this on my iphone and ipad... but I noticed that sometimes they did not turned off to standby after enabling it... ate 10% of the battery that time... so I turned it off.
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