How to create a static front-page?

Every single post I read on this topic gives the same instruction: Go to Settings > Reading > Static Pages > Front Page: Home > Posts Page: Blog.
The problem is that when I follow these instructions my Home page doesn’t load (instead it displays this message “This webpage has a redirect loop”) and the Blog page visually looks exactly like the Home page (as if it’s a redirect).

Perhaps this piece of info helps. When I started building the website I had no choice but to create a “Home” tab, and redirect the link to the homepage url, in order to be able to link to the homepage from any other page on the website. Not sure if this is the root cause of the problem, but if you think it is, then how can I possibly get around it?

Thanks!