If you check /home/pi/.bashrc you see at the end
if ! pgrep "xinit" > /dev/null
then
xinit -- -nocursor 2> /dev/null > /dev/null &
fi
the xinit command starts the xserver and then chrome etc. If the console already appears you missed the modification to tell xwindows to use display :1 instead of :0, so it still shows on the wrong display the graphics. I think googling hw to set display for xinit to use should help here.