If you had actually bought the album, you would've been able to read the lyric booklet which clearly states that the lyrics are "I imagine you ARE home" . I have always taken the first verse as the guy arriving at her doorstep and imagining what she is doing right now and how she will react when she sees him(which he has a good idea of because this has occurred several times) and the second verse the actual conversation that happens between them when she finally opens the door.
Whats the point? 
