This is only the bare bones start of something. For what it is, I think it's on the right track. It feels like these are proof of concepts for two separate games - one of them involves "something" happening in the house, the other takes place in weird red brain-hell. The first concept takes something of an atmospheric horror bent (no power in the house, only a flashlight, weird sounds and sometimes distorted visuals) to provide a sense of dread, with increasing paranormal activity as the game goes on. The second concept is horror in visual only. Nothing scary happens in brain-hell, it's just got a couple of light puzzles to solve. 

Personally I believe that concept one could be improved greatly by cutting down the number of times you need to go on a fetch quest for your key. Maybe cut out time #2, and make the second time you get the key be when it's on the table in front of the TV. Maybe combine the tea kettle going off, the car honking, and the knives on the second floor to the same time - people are likely to investigate the tea kettle sound on their own when they go downstairs to find the key, and then the knives will be there when they go back upstairs. Just a suggestion to make it less tedious, because the creepy factor plummets the longer it goes on. But I was certainly very creeped out at the start.

Concept two looks really cool but needs to be fleshed out (heh). It's a neat visual setting with two simple puzzles, but nothing else. I like puzzles and weird visuals so I enjoyed it, but if the goal was "horror" like the first concept, I didn't feel it.