PLOTRenai and Josh Lambert (Rose Byrne and Patrick Wilson) have recently moved into a new house with their three children. One morning, Renai begins looking through a family photo album with her son, Dalton (Ty Simpkins). He asks why there are no pictures of Josh when he was a child. Renai reasons that he has always been camera shy. Dalton tells Renai he is scared of his new room; she calms him down and stacks a few books on a nearby shelf. When she finds the books lying on the floor later, Renai tells Dalton to put them back after he looks at them. Dalton claims that he did not touch them. Sometime later, as Dalton is playing, he hears noises in the attic and goes to investigate. He steps on an old ladder to turn on the light when it breaks, causing Dalton to fall. He starts screaming after looking at something we can't see in a shadowy corner. Renai and Josh help him, then tuck him into bed, confident he only took a minor fall and scared himself. The next day Josh goes to wake Dalton, but he does not move. They rush him to the hospital where the doctors say he is in an unexplained coma. Three months later he is still in a coma and they bring him home to care for him.
Over the next few days, disturbing events begin to occur. Renai believes the house is haunted and confronts Josh about the events. He does not believe her, so Renai shows him a bloody handprint on Dalton's bedsheets. Shortly afterwards, Renai is almost attacked by a mysterious man in the bedroom, which triggers the house alarm. Josh rushes to Renai, but he finds no one else in the room. Josh finally agrees with Renai to move. In the new house, increasingly violent and supernatural events begin to happen again. Josh's mother, Lorraine (Barbara Hershey), believes Renai's reports of the haunting and contacts a friend, Elise Reiner (Lin Shaye), who deals in paranormal activity. The family, Elise and her team go into Dalton's room. There, she sees something on the ceiling and describes it to one of her men, who draws it. It is a dark, demonic figure with a red face, claw-like fingernails and hooves.
Elise explains to Renai and Josh that Dalton has the ability to astral project. This means that he can wander around the parallel spirit world. But Dalton had wandered too far from his physical body, to a place which she calls "the Further", and interacts with the lost souls of the dead and demons. He does this in his sleep, which he thinks are simply dreams. She also reveals that his astral projection has attracted the powerful demon in the drawing, which has drawn Dalton into "the Further" and separated him from his body in the hopes that he can take it over. His human body is still in the real world, but his spirit is inside "the Further". Elise and Lorraine reveal to the couple that Josh also can astral project, and that he was terrorized by a terrifying spirit during his childhood. Josh's mother shows them pictures from Josh's childhood. In each, a shadowy old woman lurks ever closer behind Josh. Elise suggests that Josh should use his ability to enter "the Further" and free Dalton's soul. Skeptical, Josh disagrees, but later relents when he discovers that Dalton has been drawing pictures of his "dreams" that resemble Elise's descriptions. Elise instructs Josh on how to enter "the Further". Josh finds Dalton and leads him out of a disturbing and strange room, narrowly escaping the red-faced demon. Just before Josh himself escapes, he confronts the old woman. He repeatedly yells that he is unafraid of her. The old woman retreats and appears to have been scared off. Josh awakens, as does Dalton.
Later, Dalton, Renai and Lorraine are eating in the kitchen. In another room, Elise notices something strange about Josh. She grabs a camera and snaps a picture of him. Suddenly, Josh goes into a rage and strangles Elise. Renai hears the noise and runs into the room to find Elise dead. She calls out to Josh, but receives no answer. She picks up the camera that Elise used from the floor and screams. She sees, not a picture of Josh, but the old woman. Just then, Josh assures Renai that he's right there and grabs her shoulder. She turns around, terrified, and gasps as the screen cuts to black.
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