Managing and sorting home movies and shorts in iTunes?
This is a pretty personal question, but:

Personally, I keep home movies in iPhoto. Seems a better location to me. They go with the photos of the event, keeps everything together. iPhoto for me is personal collections of events, and iTunes is proper content to watch.

Shorts go in Movies (you can't create a top-level category in iTunes) with everything else. You can use Playlists to categorize. You can set your own Genre in the meta-data to aid categorization.