Honestly, I'd recommend the game if you love atmosphere. I personally just accepted quarter way through the game that I would stop thinking about the story and accept what was happening as if I were in a dream, where I accept random stuff without a second thought. The game after that point, to me, became much more enjoyable. Stop absorbing the story, and just enjoy the atmosphere. Accepting the game as some sort of dreamscape really allows the game to transport you to some very awesome, disturbing environments.

Not paying attention to the story seemed to pay off because a lot of events do not get explained by the ending. I had much more fun/understanding reading descriptions from the 3D models they allow you to view after beating the game.

As for the horror aspect, the game was always tense, but never really overly scary. It was good at building tension and forcing you to be cautious but I never felt scared where I wouldn't progress into the scary door being banged on. There are some areas that feel creepier than others, and a lot is due to the amazing atmosphere.

I did feel battle fatigued the further into the game I got where I wish guns didn't get so heavily relied upon, and that sorta broke the horror aspect more than anything else. Rather than managing ammo and dispatching one creepy dude after another like the early game, I was being put into waves of enemies that didn't seem so creepy anymore with loads of ammo spread around the arena.

The boss fights really got lackluster after a while. Really fantastically designed, just with rinse and repeat strategies. I wish the game took advantage of the traps aspect more, because I felt the most action/shooter fatigued during these moments. A good amount of the final fights felt like a routine chore. Also, the checkpoints in this game are balls.. All the tension the game can throw at you becomes annoying when you are set 10 minutes back and have to do it all over again. This section is now lacking tension, and has just become annoying.