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Your home location is intended to be your hometown, so where you were born. Your bonus location can be reset once a year and can be used for whatever purpose you want it to be. You also get to review stuff based on where you play Niantic games. So if you move home, you'll still get to review nominations related to your new location so long as you're playing Niantic games there.
As for why you don't get more local things to review, if we frequently got things that were exclusively within a few kilometres of where we are, then it's possible that we could game the system, which would not be a good thing.