Lunacy: Saint Rhodes tries to be many things - and doesnt succed with most of them.

Some positive aspects at the start:
The general (level)design is quite good, dare I say atmospheric. As long as its night (which it is for all of them game except one ending) the game looks quite good!
The puzzles are adequat, sometimes a bit pixel-hunty.
Theres one "stealth" sequenz that works quite well. Its both fair and "scary".
I didnt encounter any technical problems - no bugs, no savegame-issues etc. Very smooth experience in that regard.

Now for the bad stuff:
First of all - the story and your characters motivation are not even a bad joke. The writing is quite bad so that any "mystery" you might want to discover just falls flat on its face. George - the guy you're playing as - does comment things from time to time but never in a convincing way - just walked into a shed filled with dead pigs hanging from the ceiling that turned into human bodies? Nah, doesnt affect George, no need to react to it! His commentary for the most part is very functional, aka telling you that doors are blocked and the like. Its also unclear why he doesnt just turn around and nope out of this empty village with all its ghosts.
The game scatters lots of documents everywhere but all of them are so "clearly" written that you dont need to piece together some horrible family-mystery-drama-story, you just get it served on a very dull plate. Same goes for the familytree: When I first started the game I was quite excited to see it in the menu because I assumed it would be some big riddle where you needed to piece it together over the course of the game. But it just auto-completes when you find some items and is, on top of that, completly meanigless.
The story and design also borrow heavly from different horror-tropes that dont fit together but would let you play horror-bingo.
As I mentioned before there is one effective stealth-sequenz about 2 hours into the game (a hours btw which are really quite boring). After that stealth sequenz the game gives you a weapon and a ton of enemies to defeat/stun... and ruins the atmosphere again by turning into some light "shooter".

All in all the game lacks a clear, well executed vision. It feels like the developers took pieces from different horrorgames, didnt fully understand what made those pieces work in the games they came from and threw all of them into Lunacy Saint Rhodes.
The game works. Just not as a good horrorgame.