Look, just bloody play Loretta, damn you
I'd planned on starting with a line about how Loretta is an exception to how psychological horror games are about trudging around an abandoned mental hospital with the worst torch in the world until the girl from Ringu menaces you. It was already interesting and good enough pretty much right away to earn a recommendation, but after one of what will definitely be several playthroughs, leaving my praise that faint would do it a terrible injustice.
Loretta is goddamn excellent by any standard. Where other games use the mentally unwell narrator to explain everything away with "turns out you're secretly crazy", it's instead just one layer of a complex horror mystery with splashes of drama and noir, whose surprises I'm straining not to spoil.