The found footage genre is a divisive one, especially when it comes to horror. While there have been successful scary movies like The Blair Witch Project and the Paranormal Activity franchise that used this specific cinematic technique to create truly terrifying films, the genre is also oversaturated with content due to the ease of employing such a style of filmmaking. What makes a great found footage film relies less on the use of "shaky cam" and raw, unedited quality and more on the actual story being told. Even though the "footage" is all fake, it needs to have elements of realism that leave audiences questioning the potential reality of it all. A good mockumentary can easily look the part, but a great mockumentary fully embodies it. When looking for movies that are able to walk that fine line between fact and fiction so effortlessly, one stands out above all the rest.
Source:https://www.cbr.com/lake-mungo-still-best-mockumentary-horror-movie/