So, let's look at where these equations come from. You start with the two-dimensional Navier-Stokes equations,
\dfrac{\partial u^*}{\partial t^*} + u^*\dfrac{\partial u^*}{\partial x^*} + v^*\dfrac{\partial u^*}{\partial y^*} = -\dfrac{1}{\rho^*}\dfrac{\partial p^*}{\partial x^*} + \nu^* \left( \dfrac{\partial^2 u^*}{\partial x^{*2}} + \dfrac{\partial^2 u^*}{\partial y^{*2}} \right),
\dfrac{\partial v^*}{\partial t^*} + u^*\dfrac{\partial v^*}{\partial x^*} + v^*\dfrac{\partial v^*}{\partial y^*} = -\dfrac{1}{\rho^*}\dfrac{\partial p^*}{\partial y^*} + \nu^* \left( \dfrac{\partial^2 v^*}{\partial x^{*2}} + \dfrac{\partial^2 v^*}{\partial y^{*2}} \right),
\dfrac{\partial u^*}{\partial x^*} + \dfrac{\partial v^*}{\partial y^*} = 0.
Here the starred quantities denote dimensional quantities. We then want to nondimensionalize the equations. To do this, we use the following scaling laws:
x = \dfrac{x^*}{L^*},
y = \dfrac{x^*}{\delta^*},
u = \dfrac{u^*}{U^*},
x = \dfrac{v^*}{U^*}\dfrac{L^*}{\delta^*},
p = \dfrac{p^*}{\rho^* U^{*2}},
t = t^*\dfrac{U^*}{L^*}.
Here, L^* is simply the dimensional horizontal length scale, \delta^* is the dimensional boundary layer thickness (as opposed to displacement thickness) and U^* is the dimensional free-stream velocity. So, if you then substitute these scales into the governing equations, we get the following:
\dfrac{\partial u}{\partial t} + u\dfrac{\partial u}{\partial x} + v\dfrac{\partial u}{\partial y} = - \dfrac{\partial p}{\partial x} + \dfrac{\nu}{UL}\dfrac{\partial^2 u}{\partial x^2} + \dfrac{\nu}{UL}\dfrac{L^2}{\delta^2}\dfrac{\partial^2 u}{\partial y^2},
\dfrac{\partial v}{\partial t} + u\dfrac{\partial v}{\partial x} + v\dfrac{\partial v}{\partial y} = - \dfrac{L^2}{\delta^2}\dfrac{\partial p}{\partial y} + \dfrac{\nu}{UL}\dfrac{\partial^2 v}{\partial x^2} + \dfrac{\nu}{UL}\dfrac{L^2}{\delta^2}\dfrac{\partial^2 v}{\partial y^2},
\dfrac{\partial u}{\partial x} + \dfrac{\partial v}{\partial y}=0.
Then of course the definition of the Reynolds number is
Re = \dfrac{UL}{\nu}.
This leaves
\dfrac{\partial u}{\partial t} + u\dfrac{\partial u}{\partial x} + v\dfrac{\partial u}{\partial y} = - \dfrac{\partial p}{\partial x} + \dfrac{1}{Re}\dfrac{\partial^2 u}{\partial x^2} + \dfrac{1}{Re}\dfrac{L^2}{\delta^2}\dfrac{\partial^2 u}{\partial y^2},
\dfrac{\partial v}{\partial t} + u\dfrac{\partial v}{\partial x} + v\dfrac{\partial v}{\partial y} = - \dfrac{L^2}{\delta^2}\dfrac{\partial p}{\partial y} + \dfrac{1}{Re}\dfrac{\partial^2 v}{\partial x^2} + \dfrac{1}{Re}\dfrac{L^2}{\delta^2}\dfrac{\partial^2 v}{\partial y^2},
\dfrac{\partial u}{\partial x} + \dfrac{\partial v}{\partial y}=0.
Now, in talking about boundary layers, the assumption is always that the boundary layer, or the region where viscosity is important, is confined to a small region near the surface of the object. Alternatively, this means that the boundary layer is thin compared to the size of the object, or \delta/L \ll 1. So, looking at the first equation, we should realize that if we assume that 1/Re = O(1), then the \partial^2 u/\partial x^2 term would be extremely large and it would render the equation quite useless. By contrast, if we assume 1/Re \ll 1 then we can say that
\dfrac{1}{Re}\dfrac{L^2}{\delta^2} = O(1).
In fact, the condition that 1/Re \ll 1 (or alternatively Re \to \infty) is typically considered to be equivalent to saying that a boundary layer exists very close to the surface outside of which the flow is inviscid. Anyway, since we have now determined that this assumption is valid, we can say that
\delta = O(Re^{-1/2}L),
which gives you an idea of how the boundary layer thickness grows with respect to x.
It also let's us further simplify the equations by noting the O(1) terms. We also multiply the second equation by 1/Re in order to make sure we keep the pressure term:
\dfrac{\partial u}{\partial t} + u\dfrac{\partial u}{\partial x} + v\dfrac{\partial u}{\partial y} = - \dfrac{\partial p}{\partial x} + \dfrac{1}{Re}\dfrac{\partial^2 u}{\partial x^2} + \dfrac{\partial^2 u}{\partial y^2},
\dfrac{1}{Re}\left(\dfrac{\partial v}{\partial t} + u\dfrac{\partial v}{\partial x} + v\dfrac{\partial v}{\partial y}\right) = - \dfrac{\partial p}{\partial y} + \dfrac{1}{Re^2}\dfrac{\partial^2 v}{\partial x^2} + \dfrac{1}{Re}\dfrac{\partial^2 v}{\partial y^2},
\dfrac{\partial u}{\partial x} + \dfrac{\partial v}{\partial y}=0.
Under the assumption that the Reynolds number is very large and therefore that there is a boundary layer in the traditional sense, that allows us to make the following simplifications to arrive at what are typically called simply the boundary layer equations:
\dfrac{\partial u}{\partial t} + u\dfrac{\partial u}{\partial x} + v\dfrac{\partial u}{\partial y} = - \dfrac{\partial p}{\partial x} + \dfrac{\partial^2 u}{\partial y^2},
- \dfrac{\partial p}{\partial y} = 0,
\dfrac{\partial u}{\partial x} + \dfrac{\partial v}{\partial y}=0.
Note that the second equation is the root of the reason why we typically say that the pressure is constant through the boundary layer normal to the surface. If you plug the scaling laws back into re-dimensionalize the equations, you get the following:
\dfrac{\partial u^*}{\partial t^*} + u^*\dfrac{\partial u^*}{\partial x^*} + v^*\dfrac{\partial u^*}{\partial y^*} = - \dfrac{1}{\rho^*}\dfrac{\partial p^*}{\partial x^*} + \nu^*\dfrac{\partial^2 u^*}{\partial y^{*2}},
-\dfrac{1}{\rho^*}\dfrac{\partial p^*}{\partial y^*} = 0,
\dfrac{\partial u^*}{\partial x^*} + \dfrac{\partial v^*}{\partial y^*}=0.
So that is the typical way to do the order-of-magnitude analysis, and personally I find it more clear as to why you drop that term than the more vague physical reasoning. The end result is that, as I said before, the equations are not valid near the leading edge since the Reynolds number is not large in that region and it violates the order-of-magnitude assumptions made in deriving the equations. As a result, the equations are at their most accurate when \delta is nearly constant, but the equations are valid at least to some degree in areas where it is not nearly constant. How far it is valid depends on how much error you wish to incur, otherwise you have to turn to the full Navier-Stokes equations ore another approximation based on less stringent assumptions.