This is a question page into the possibility of the characters experiences in Silent Hill, all being an illusion.
What if the characters who went Silent Hill, never actually went to Silent Hill and it was just a form of lucid dreaming that's really hard to wake up from?
The illusion could take all of their hopes and fears and express them through monsters and people.
The fogginess could represent the fact that they can't find their way back to the real world, meaning they cannot get out of that dream.
The good endings could mean that the individual has managed to get out of the lucid dreaming state and is now carrying on with their lives, thus the bad endings meaning that the individual is stuck in Silent Hill forever. The UFO endings could be a way for the dream to play with the individuals mind and cause more fear?