There's a lot more then just a little bit of truth. Lakewood is a nightmare to the average civilised human.
Yes, but not for any reason that you can really put into print.
The inhabitants are on an entirely different wavelength than the rest of society, and they have no interest in blending in. Sure, they'll be careful not to instigate any problems with their neighbors and to do what it takes to superficially look like just another American village, but any outsider knows when he doesn't belong.
Any non Jewish family shopping in one of the Jewish districts must feel like they've fell from the moon. A distinctly unpleasant experience, and certainly something you want to avoid in your own hometown.
Can you imagine a group of people taking over your friendly community that not only have no interest in joining the communal social scene and life, but look at you living there like an obstacle, and offer to buy you out every few days just to get you out of the way?
You can't blame them for feeling resentful, but none of these feelings sound like concrete and coherent reasons to not want a demographic. If you say the insular Orthodox culture is the reason you don't want them, you're accused of anti semitism. The alternative came out even worse, though. Expressing your horror at the out of control Orthodox community encroaching your borders, because of congestion?!? Really?
Yes, the crime is nonexistent, but so is any community camaraderie for any non Orthodox inhabitants. On paper, the selling points may look good, but I'd be the first to agree that it's an awful option and a nightmare for your average American.