From what I understand, DMT actually competes for serotonin receptor sites rather than blocking reuptake. It works on some of the same sites that other hallucinogens (like LSD) do- 5-HT2 being the most prominant one. But LSD does all sorts of other things as well that make the drug so damn hard to understand.
Activating the receptors leads to a dramatic reduction in the number of receptors in the brain. This, in turn, presumably leads to the disinhibition of visual senations and visual memory. This is where we get "tracers". The images from moments ago are not properly inhibited, so they are interposed over current images (sort of, this is a crude explanation). The decreased receptor number can remain for long periods of time after the drug has not been used anymore, which is where many residual effects and flashbacks come from. It is also the basis of HPPD (hallucinogen perceptual persisting disorder) where people continue to experience the visual effects of a trip either permanently or for long periods of time. That is one type of hallucination partially explained. I don't have a clue about many other hallucinations caused by LSD.
One of the most common hallucinations reported by everyday people are auditory hallucinations (like voices). Hearing voices is also the most common hallucination for schizophrenics, and we now know that schizophrenics are generating speach themselves, and they just dont recognize that it is themselves they are hearing.
Some hallucinations can be induced by stimulating the brain with magnets, but this really only gives us a rough idea of what some brain areas are doing.
Does any of this help?