This movie is an under-rated gem.
It's genuinely scary, without being filled with blood & gore like many low-budget horror movies are.
Its has its flaws, but if you can get past them, you will be rewarded with a genuinely original horror movie. I had to watch it at least twice, before the full implications of the story became apparent to me.
There are many scenes, where you don't know what is real & what is a dream and for me, this adds to its effectiveness.
The soundtrack is also interesting because it was composed by Bill Nelson (ex Bebop Deluxe) during his "ambient music" phase of the 1980's.
I don't wish to discuss the story in any detail, because this might spoil the movie for you.
Unfortunately, this is currently unavailable on DVD, long since out of print in any other format, and might not be available again for some time to come, because it would appear that the rights ownership have become confused by bankruptcy. The only way to see it is to get hold of an old 2nd-hand VHS copy.
Thoroughly recommended.