It's The Stepford Wives meets The Serpent and the Rainbow with a dash of The Sixth Sense as the beloved Grandpa from the first Willy Wonka movie does a heel turn here as an undertaker. In the town of Potter's Bluff, strangers seem to get murdered a lot, buried in a kind of potter's field and then reappear as the good townfolk. There's a lot that doesn't make sense here, but I think we can safely conclude from my viewings of the past three months (Messiah of Evil, Night of the Seagulls) that you don't mess around in a coastal town where there are no tourists, and maybe that's all you need to know.
We have going for us here in D&B land some great atmosphere, an immolation and a head crush (and their aftermath) but I have to say this movie creeped me out a lot more ten years ago when I wasn't the callous bitch I am today. There is a boob flash near the beginning but very little blood. On the other hand, you may be trying to guess the twist until the third act (although you may figure it out before the characters it involves.)
Zombies? Ghosts? What do you think? I don't know but something stinks!
And now, by request from Alex over at Midnight Showing, a screencap of Jack Albertson putting on lipstick.