The environment is everything when it comes to horror games. Sure, adding a ton of jumpscares to the game will earn it a place in the horror genre. Yet, to truly succeed in the vast world of horror games, the environment has to be creepy enough to create that sense of unsettlement.

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Horror fans shouldn't pass up on these titles, which are considered by many to be the best psychological horror games out there.
So, be it through a dead flashlight in dark corridors or evil entities roaming in random places, creating a frightening environment is essential. That said, here are the games that create the best horror environment, terrifying enough to give anyone goosebumps.
8 Bioshock
Explore The Eerie Underwater City Of Rapture
This is a title that most people wouldn’t expect to see on this list. While usually termed as a shooter or a thriller, Bioshock has created one of the best horror environments within the horror genre. Set in an alternate reality of the 1960s, Bioshock lets players explore the eerie underwater city of Rapture, the home to strange mutated characters.
The protagonist, Jack, discovers the city of Rapture after being the sole survivor of a plane crash. Confronting weird monsters throughout the game, players have to fight their way through the city while struggling with moral dilemmas. Overall, the game's art style, environment, and mechanics have made it one of the best-selling horror franchises for a reason.
7 Mundaun
A Pencil-Drawn Horror Inspired by Folklore That is as Aesthetic as It Gets

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- Top Critic Rating: 74/100 Critics Recommend: 59%
- Released
- March 16, 2021
- Developer
- Hidden Fields
- Platform(s)
- PC, PS4, PS5, Switch, Xbox One, Xbox Series X, Xbox Series S
Having a unique pencil-drawn art style, Mundaun is aesthetically frightening. As one of the most distinctive horror games in the genre, Mundaun is inspired by Swiss culture and folklore. Set in a remote mountainous region of Switzerland, this game focuses on the theme of dark mystery.

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While the environment of the Swiss Alps adds beauty to the art style, the addition of spooky landscapes, unsettling creatures, and abandoned structures makes it haunting. On top of that, the need to survive against these supernatural creatures gets the adrenaline pumping. With its environmental storytelling adding even more depth to the horror aspect, Mundaun is truly a beautiful yet haunting experience.
6 Outlast 2
A Terrifying Unsettling Town Writhe With an Evil Cult
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- Top Critic Rating: 75/100 Critics Recommend: 60%
- Released
- April 25, 2017
- Developer(s)
- Red Barrels
When it comes to creating a truly haunting atmosphere, few games do it better than Outlast. As a survival horror, Outlast 2 embraces the themes of darkness and cults. The game follows the journey of its protagonist, Blake, who discovers a dark village inhabited by a cult, worshiping The Walrider.
The atmosphere in this game is as unsettling as it can get. As the player navigates through this village, all they have to their defense is a camera, since Blake doesn’t fight. So, the best bet is to evade and hide from evil creatures. And, keep an eye on the batteries of the camera, because if they run out, it’s pitch black darkness.
5 Darkwood
A Lethal Top-Down Survival Experience
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- Top Critic Rating: 77/100 Critics Recommend: 77%
While most horror games embrace the first-person perspective, Darkwood stands out by introducing a top-down system. Serving as another survival horror, Darkwood takes place in a dark, eerie forest filled with unforgiving evil creatures. The main task is to gather resources from the mysterious woods and survive the deadly nights.

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Throughout the game, the player meets strange characters that add to the game's lore and depth. In addition, the game adds the aspect of a randomly generated environment. So, while the key locations remain consistent, the rest of the locations keep changing, adding unpredictability and horror. Overall, Darkwood does a great job of creating suspense and fear without relying on jumpscares.
4 SOMA
A Game That Questions Reality and Existence Deep Within Claustrophobic Waters
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- Top Critic Rating: 83/100 Critics Recommend: 80%
- Released
- September 15, 2015
- Developer(s)
- Frictional Games
Set in an underwater environment, SOMA serves as a survival horror with the element of psychological horror. The game follows the story of protagonist Simon Jarrett, who awakens in an underwater facility after a car accident. While exploring the facility, Simon interacts with robots and AI, who are convinced that they are humans.
With a detailed story, SOMA offers players an immersing and terrifying environment filled with threats. On top of that, with the game adding elements of existentialism and isolation, the feeling of confusion and terror is emphasized. Combining an enriched lore with an equally enriched atmosphere, SOMA is a must-play for all horror fans.
3 Silent Hill 2
Dark Secrets Lurk Within an Iconic Psychological Horror Game
- Released
- September 25, 2001
- Developer(s)
- Team Silent
- Platform(s)
- PlayStation 2, Xbox (Original), PC
Widely regarded as one of the greatest video games of all time, Silent Hill 2 was ahead of its time. Originally released in 2001, Silent Hill 2 is set in the fictional town of Silent Hill, Maine. The game focuses on protagonist James Sunderland, who receives a letter from his deceased wife, stating that she’s waiting for him at Silent Hill.
Lost in confusion, James visits the town, only to discover a place full of fog and dark secrets. The town serves as a manifestation of its visitors' fears, adding a layer of psychological horror. Throughout his journey, James struggles with the concepts of guilt, grief, and trauma. Overall, from its soundtracks to gameplay, Silent Hill 2 is a rollercoaster of experience. And, the multiple endings factor adds even more to the replayability.
2 Resident Evil 7: Biohazard
Surviving the Isolating Horrors of an Abandoned Southern Farmhouse
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- Top Critic Rating: 86/100 Critics Recommend: 91%
- Released
- January 24, 2017
- Developer(s)
- Capcom
- Platform(s)
- PS5, PS4, Xbox Series X, Xbox Series S, Xbox One, Switch, Stadia, PC
If there’s any game that’ll have anyone screaming at the top of their lungs in terror, it’s Resident Evil 7. With a first-person system, this is one of the scariest horror games to exist within the genre. The game is set in a haunted mansion, featuring the Baker family. The main protagonist, Ethan Winters, visits this eerie mansion in search of his wife, Mia.
Throughout the game, players have to explore the mansion, collecting pieces of information and resources. And, as with some of the best Resident Evil games, resources are scarce. So, running out of bullets mid-combat gets that adrenaline pumping like no other. On top of that, when the environment is this spooky, the scarejumps hit even deeper. Combining the factors of a terrifying atmosphere with creepy characters, RE7 is haunting, to say the least.
1 Alien: Isolation
An Incredibly Smart Xenomorph Hunts Players Through An Abandoned Space Station
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- Top Critic Rating: 81/100 Critics Recommend: 76%
Set in the universe of the Alien franchise, Alien: Isolation serves as a direct sequel to the 1979 film. As the name suggests, Alien: Isolation does a great job of creating an atmosphere that makes players feel unsettled and isolated. Set in a space station, players control Amanda Ripley as she struggles to deal with an alien onboard, stalking her through the environment.
On top of its spooky nature, the alien learns from the actions of the player, making its moves all the more unpredictable. And, when set in an isolated environment, this becomes horrifying. With its tense gameplay and atmosphere, this game requires you to evade danger and survive, all while keeping you on the edge of your seat.

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