It's still not even near as scary as the original, but it's a lot more entertaining than the second film, and surpasses it in every way. There's some nice humorous moments throughout the film and the 'family-home' atmosphere felt very genuine. I really liked Christopher Nicholas Smith's performance. He was a very warm, natural and likable protagonist. I felt for him as the events of the film went on. A couple of the scares (the kitchen stuff falling down) feel overplayed now, but there are some seriously creepy moments (a number of jump scares and a moment with a white sheet especially). The ending was pretty...lacklustre. It really leaves the door open for a fourth film though I'm not too sure where they would go with it.
I'd like to watch the whole trilogy again to see how well the story blends together over the course of the three films. The story is essentially told backwards (this one takes place in the 80's - when they wouldn't have picture quality anywhere near this good, but I can forgive the film that obvious logic fault ). It's a little hard to recall some of the details from the original movie by this point - especially about Katie's past, which is a focal point here.
I thoroughly enjoyed the film despite the annoying audience I saw it with. If you haven't enjoyed either of the previous instalments, there's nothing here to persuade you otherwise, but for fans of the series it's a lot of fun.
Paranormal Activity (9/10)
Paranormal Activity 2 (5/10)