Der Ex-Söldner Frederick Payne (Carlos Martos) lebt mit seiner wahnsinnigen Ex-Frau Elizabeth (Diana Conca) seiner Schwester und deren Sohn sowie einer Hausangestellten in einem abgelegenen Haus in einem nicht näher benannten Land. Als ihn in einer Gewitternacht seine heimliche Liebe Helen (Emma Quer) besucht, dreht Elizabeth durch und blendet ihn, woraufhin sie künftig in einem Irrenhaus hinter vermeintlich sicheren Gitterstäben untergebracht wird. Der blinde Frederick und seine Helen beschließen unterdessen zu heiraten und ein Kind zu bekommen. Da es bei Frederick aber nicht mehr so recht funkt, entschließt man sich für eine künstliche Befruchtung in der Klinik von Dr. Gerard. Der beging allerdings den Fehler, einen Satanisten als Helfer einzusetzen, der diverse Frauen mit Satans Samen befruchtete, so nun auch Helen. Nachdem die bisherigen Versuche sich als Fehlschläge erwiesen, ist Helen die große Hoffnungsträgerin, Satans Sohn in die Welt zu setzen.
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Steve and Diane Freeling live in the planned community of Cuesta Verde, California. Steve is a successful real estate agent, and Diane looks after their three children: sixteen-year-old Dana, eight-year-old Robbie, and five-year-old Carol Anne. One night, Carol Anne inexplicably starts to converse with the television set while it displays post-broadcast static. As she talks to the TV the next night, a ghostly white hand emerges from the screen, followed by a violent earthquake. As the family is shaken awake by the quake, Carol Anne eerily intones, "They're here." The following day is filled with bizarre events: a glass of milk spontaneously breaks, silverware bends, and furniture moves on its own. These phenomena initially seem benign, but soon grow sinister. During a severe thunderstorm, the gnarled backyard tree seemingly comes alive. A branch crashes through the children's bedroom window, grabs Robbie and pulls him outside into the pouring rain as the tree attempts to devour him. While the family rushes outside to help Robbie, Carol Anne is pulled into a portal inside the closet. After saving Robbie from the tree, which is sucked into a tornado, the family frantically search for Carol Anne and hear her voice calling out from the television. Parapsychologist Martha Lesh arrives with team members Ryan and Marty to investigate. They determine there is a poltergeist intrusion involving multiple ghosts. Meanwhile, Steve learns from his boss Lewis Teague that the Cuesta Verde development was built on top of a former cemetery and the graves were moved to a nearby location. Dana and Robbie are sent away for safety, while Dr. Lesh calls in Tangina Barrons, a spiritual medium. After touring the house, Tangina explains that their daughter is now in a different plane of existence occupied by spirits who have not found rest. In their dreamlike state, they are drawn away from the path to the afterlife by Carol Anne's radiant life force. Tangina also reveals that a powerful demonic presence she calls "the Beast" is holding Carol Anne captive and using her to restrain the other spirits from crossing over. The entrance to the other dimension is in the children's bedroom closet and exits through the living room ceiling. Diane, secured by a rope, passes through the portal, guided by another rope previously threaded through both portals. Diane retrieves Carol Anne, and they drop through the ceiling to the living room floor, covered in ectoplasm. As they recover from the ordeal, Tangina proclaims the house is "clean". Shortly after, the Freeling family have nearly finished packing to move out of the house. Before the family is to leave, Steve heads to his office while Dana is on a date, leaving Diane at home with Robbie and Carol Anne. Subsequently, "the Beast" violently attacks Diane and the children, apparently with the intent of dragging them into its dimension. While running through the backyard in an attempt to get help, Diane stumbles into a flooded swimming pool excavation. As skeletal corpses float up around her in the muddy hole, Diane crawls out and rushes back into the house. She rescues the children, and they narrowly escape outside as more bodies erupt from the ground. Accompanied by Teague, Steve arrives back home to the mayhem and realises that only the gravestones were moved, not the bodies; the development was built over the now unmarked graves. The Freelings jump into their car and collect Dana just as she returns home. They flee Cuesta Verde as the house implodes into a portal while Teague and stunned neighbors look on. The family checks into a room at a Holiday Inn, where Steve promptly removes the TV.
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