Just finished the game and I must say, the Hill house level struck a nice balance of tension (from the sanity meter) and exploration/combat. I felt free to go around using potions and experimenting while keeping an eye on my stats. For that level the game felt like it was working as intended and I had fun with it :)
The downside was the Wine Cellar level where I found there was only one route to get out and if you took any steps out of line you were doomed. I had to do it maybe 10 times just to make sure I kept my sanity, which compared to the Hilll House made it far more linear and annoying. I'd hate people to quit before the Hill House level because they'd miss out on the cool variety of potions etc.
Overall nice work :)