If you want to use filters, then I would recommend using custom taxonomies or custom fields to store that information. You could use for example the post category for location, and maybe a custom field for the category – or vice-versa.
The search tags in the editor are to add additional phrases that the plugin will match, whenever someone types them in, it has no connection to the filters. To filter posts or any custom post types, the posts have to be categorized in some way: either by taxonomies, custom fields or tags.Best,
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