It's stock RPG Maker assets, but they're used well here and the environments are pretty good. It gets across that weird dreamlike feeling where things are sort of realistic but also weirdly out of place. I think the music is pitch-shifted? That also contributes to that mildly uneasy, dreamlike feeling. The art shift at the very end makes a ton of sense for the framing device.
Random encounters are my pet peeve, and I can't help but feel they just kill the flow of the game here. I was enjoying the mystery and exploring the strange environment, but running into a random enemy just yanked me out of it every time. I found it really tedious and annoying by the end. I think if it factored into the story it would feel more worthwhile, but it seemed to just be there.
Overall, I enjoyed it. There are some bugs and weirdness, but nothing game-breaking. The ending is abrupt, but I think it works.