Production Budget: $450,000
Box Office: $194,183,034
How do you make a movie so cheap? The answer is simple, make it look like a home movie. That's exactly what Oren Peli did for Paranormal Activity, which turned into a seven-movie franchise and did incredibly well.
The idea for the movie was natural Oren said, talking about how the idea came from when he and his then-girlfriend were living in the San Diego home – "Actually there were strange noises at night that made us both jumpy. You know, stuff falling off shelves ..."
Thinking of setting up a video camera to see what was going on, he had the idea to take this premise and make a movie. – "After seeing Blair Witch and Open Water, I realised that anyone can buy a video camera and start shooting a movie."
Of course, this phenomenon of strange noises in the dark is so relatable, that it naturally drew audiences in, and the jumpy, terrifying movie turned out to be a huge success.