I. 1. especially
2. truthful
3. been in
4. been asleep
5. been on
6. had
7. been married
II. 1. It’s a shame
2. are not certain
3. opposite / across from
4. an honest
5. visiting
6. learnt a lot; have been
III. One possible version:
The Changes in My Hometown
My hometown has changed a lot in recent years. In the past, the air here was very clean. The environment was very good. The houses were small and old. People went to work on foot or by bike. It used to be a very quiet place.
Now things are quite different. The houses are big and bright. Many people have had their own cars. The changes have brought young people a modern life. They all feel happy. But there are fewer trees than before. The air has been polluted somewhere and there is thick haze in winter. The environment is not as good as before, either.
In the future, I hope my hometown will be more and more beautiful so that we can live a happier life.