Chapter 1 definitely set the 'Saw'-esque premise, with an engaging story and simmering tension throughout. I particularly enjoyed the Alice in Wonderland/Through the Looking Glass references and that you were constantly being watched...
The first part of 'The Torture House' sets up the scene quite nicely and subverts your expectations of the 'gotcha' moments seen throughout these types of games. When the masked killer appears it genuinely startled me. I thought the puzzle mechanics on show were quite well thought out and had me guessing where someone was about to pop out.
Only notes I could suggest for Chapter Two: make the save points check points instead, as this dilutes the growing dread.
Great game - can't wait for the next instalment!