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Katie and her boyfriend Micah are a young couple who recently moved into a two-story tract house in suburban San Diego, California. Katie claims that a ghostly presence has haunted her since her youth and believes that it has followed her to their new home. She hires a psychic, Dr. Fredrichs, who assesses that she is being haunted not by a ghost, but by a demon. He says the demon feeds off negative energy, and its intent is to haunt and torment Katie no matter where she goes. Before leaving, he advises them not to taunt or communicate with the demon, and to contact demonologist Dr. Johan Averies for help. Instead, each night, Micah mounts a video camera on a tripod in their bedroom to record any paranormal activity that might occur while they sleep in the hopes of solving the problem himself.

The camera manages to capture several supernatural phenomena which remains minor at first, including the bedroom door moving by itself, and footsteps heard downstairs. As Micah consistently taunts the demon, the phenomena gradually grows worse, including loud bangs and inhuman noises reverberating from deep within the house. One night, Katie awakens to spend several hours standing by the bed staring at Micah while he sleeps and goes outside to sit on the backyard swing, none of which she remembers the following morning.

Katie, already irritated by Micah’s making light of the situation, becomes irate when Micah brings home a ouija board, despite Dr. Fredrichs’ warnings. While the two are out of the house, the Ouija board’s planchette moves on its own and a small fire erupts on the board, extinguishing itself moments later. The next night, Micah sprinkles talcum powder in the hallway and later they find non-human footprints leading to the bedroom from the attic. In the attic, Micah finds a burnt photograph of a young Katie, previously thought to have been destroyed in a house fire. source