As someone who was into paranormal stuff when I was young and who used to watch way too much ghost hunting TV slop, "ghost hunting simulation but ghosts are actually real" is a great concept. I just don't like how quickly it escalates from bumbling around in a boring suburban home with a thermometer or EMF detector in your hand to a glitchy Unity store asset snapping your neck while playing creepylaugh.wav
From the jump you know you're dealing with a violent supernatural monster that WILL kill you and you're basically on a timer to find out which one it is using a simple process of elimination before you all die. I get that it's a game so you need Things To Happen but I would probably enjoy a slower, more methodical game that more closely emulated a paranormal investigation. Like you show up to a house and have a list of the paranormal activity that's been reported in specific rooms, then you go and set up your equipment to try to document it for yourself.
There definitely should be a threat of physical harm but IMO it should be less overbearing. Investigators being killed on the job being a completely regular and expected occurrence feels a bit absurd
I'll say this for Lethal Company, it feels like it's so much easier to get separated and it can get tense once that happens. It can go either way.
Content Warning had a good blend, too, in my opinion. Things could get tense/unsettling enough that even if you didn't get a good scare, you could get a good thrill.