First of all, I'm not sure what would prompt a moviemaker to film an entire movie with a handheld camera. After the first 20 minutes, I had to close my eyes unless they had the camera sitting on a stable surface. My friend had to get up and leave the theater she was so sick from the constant movement of the camera. I probably would have tolerated it a bit more if not for that.
However, with that said, I have seen more paranormal activity on a weekly basis on Ghost Hunters. I had read that people were unable to sleep for days after seeing this movie and I'm not sure why. It was definitely not scary.
I would like to say the actors did a very good job with what they had.