Started decorating my house, and I would like to know if there is a was to rotate a grabbed item on the Xbox? Otherwise it's a huge pain in the ass.

I'd like to know this as well. Even though it will be a pain in the ass, I'd still spend the countless hours decorating my house, just as I did in Oblivion and Fallout 3 (though no one else will be able to see it =( )

Anyone know if it can be done?

mod your xbox into a pc then get mods to fix it

I've noticed that some objects have an almost gyroscope effect - being that they will slowly try to turn themselves the right way up (Eg: Buckets), whilst some will remain which ever way they have been turned (E: Kettles, Baskets).

I've found the best way to rotate an object on the X-axis is really just knocking i slighty of other objects - like a sword tip - to that it clips a corner and twists it. Flipping an object simply require a table... Just knock it of the edge