It's literally best practice as indicated by the vendor (RedHat). I have to ask if you know what you're even talking about?
Yeah mate, I was running NFS home directories on a Sun for an internet provider in 1997.
End user computing has different optimal configurations than professionally managed, enterprise unix boxes.
Macs are end user focused, mostly single user machines. By moving the most likely single user account's home directory to external storage you create a dependency on that external drive being connected. People don't typically enable the root account on macOS, hence my advise to create backup account not running home on external storage.
Not sure what happens when you try to log into a Mac with a non-accessible home directory but my bet is "bad things".
If we were discussing enterprise unix servers or Linux machines on a Linux forum you might have a point, but we're discussing Macs, used by Mac owners, on an Apple forum.
Splitting OS and data may be best practice in linux, but ultimately the reason is for data safety/recovery purposes, and on the Mac best practice is to back your stuff up, using either the provided Time Machine, or something else. Splitting the home folder onto a seperate drive just makes that less reliable and more complicated.
Not necessarily saying don't do it if you know what you're doing, but the thread is asking about pitfalls of doing so. They exist, and pretending they don't is disingenuous, given the way MacOS wants to work, and given the audience is not generally a bunch of unix nerds.