When it comes to horror there's really only a couple of things that truly scare me, ghosts and demons, needless to say this game made me shiver uncontrollably whilst playing...
The art style gives the game a certain charm and despite it's appearance it can (and will) scare you. The retro style audio is amazing as well, from the music to the sound effects the game's audio is gold.
The atmosphere is nailed right from the beginning, I have yet to feel safe during my playthrough of the game.
This is a really solid experience, though I've yet to finish it, it can get a little frustrating at times but I found that piecing together the story here was more than worth a few minutes of wandering around. I hope you don't mind but I've started a let's play series of the game on channel.
Cheers and best wishes to you, I look forward to playing more of the game!