For some reason I cannot seem to find the option to create a Homegroup after I removed it (just the join now button is available). The homegroup provider and listener services are running. Why would this be the case?
I fixed this problem by shutting off my network connections, then creating the homegroup. It seems (though I am not sure) that the issue was that someone else on the network was trying to start a homegroup, and I was being forced to join it.