Sounds promising. But I have my doubts if they are to achieve their goal in backing the project...
The horror seemed like a lot of cheap tricks and the animation and stuff was pretty stiff...
Well, "horror" is kind of subjective really. It all comes from how effective the atmosphere, design and "feel" of the game (which can also be interpreted as balance) is to the player.
What is scary to someone it can be hilarious or boring as hell for others. I mean if there's something I learned from the now dead/dormant Japanese survival-horror genre, is that scaring the player is not the most important thing. What's important is giving them an interesting experience with moments of tension and/or mystery to spark their imagination.
Seriously screaming "boo!" as loud as you can is not generating horror to the person playing the game, at best they are letting that person to suffer from
Phonophobia (tl;dr: Fear of loud sounds).