It blew Blair Witch out of the water. I was genuinely entertained the entire time.

That said, there were some issues with the logic of the characters and the pacing was a bit questionable at times. I liked that it managed to flirt with the horror cliches without becoming a cliche horror movie. I'm especially glad that they avoided the disturbing/gruesome/shock value horror.

I've read reviews and heard people talking about how scary it was, and that's one thing I disagree with. Maybe I'm too cynical with the premise (a demon haunting a house), but I was never really scared; the intensity definitely built, but when the movie was resolved, I was able to leave it at the door. It wasn't like Psycho where the shower was slightly sketchy the next time you were in there.