I am going to say that this is more a matter of personal preference than anything.
I hate to disappoint the (many) kanji-lovers on here but in kana would be the most-often used way to write the word. may be used just as often but it is read instead at least half the time.
looks pretty corny and you will not see it as often as you will the two above these days. If you are from a big or even a mid-size city like I am, this word would look and feel "off" in referring to your hometown.
The latest "official" term containing the word in question is []{}. This new system allows you to make a donation to any prefecture, city, town, village, etc. of your choice and do so tax-deductibly.
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In case anyone is mistaken, I want to add that , however it is written, is NOT the word native speakers usually use in sentences like "Where is your hometown?" or "My hometown is ~~~." We use []{} and []{} for that.