I've been here a really long time, and actually I think you have some very valid questions... I'm here because my family's here, and I've watched it change so completely over the years that it makes my head spin. The fields near the house are now apartments and strip malls. It's a little scary, actually, how quickly it happened.
The reason you know so many people moving here is because Austin is very trendy right now. Most people coming today are doing so because they've heard it's hip and fun... which it is, but it's also become very pretentious in some ways. Or more specifically, attracted some very pretentious people. It's really fashionable, I guess - when I'm traveling and someone hears where I'm from there's a lot of "Ooooh! I hear that's a cool town!" whereas it used to be "uhhhh.... Texas, huh? (grimace) Okay."
I hate feeling nostalgic for the 80s, but this town used to have a lot of charm - everyone saying "sir" and "ma'am", the small-town feel, enough to do but not so much that it was overwhelming... and of course it's just a really pretty place to be. I raised my own family here too, and I'm really glad about that, but by virtue of the mass influx it has definitely lost some character and eccentricity. By the way, anyone moving here with a provincial, prejudiced mentality will either not be comfortable or hopefully, become more tolerant. People here pride themselves on acceptance and a live-and-let-live mentality, which is one of the better things about this place... really, anything goes.
In a way the growth is good because that brought new cultural opportunities, a broader variety of people, and even jobs... but the reality is that our job market is still quite limited, so your friends are probably working in restaurants or stores. No matter what you may hear, there are a LOT of educated, qualified people here who can't find work. There's not a huge range of industry either - the main options are healthcare, state govt, tech, health, universities, and - most prevalent - retail/service. It's really hard to support your kids as a waiter or working in a shop, but people are taking whatever job they can get at this point. Also, the traffic is just super crazy now. I love my town, but all honesty if I were not from here, I wouldn't move here right now. It will improve, of course, but this is not the best time to come.