Matt, Shelby and Lee are helping police and volunteers to search for Flora in the woods. As night starts to fall, Shelby is reluctant to be in her own search grid alone. Lee finds one of Flora's dolls dismembered and with a pig's head. A nearby farmhouse contains other animal parts and the trio hear people mimicking their cries for Flora. They make their way into the house's barn and find two dirty boys nursing from dead sow.
The two boys look like they belong to the Polk family, who have since abandoned the farm. They're taken to the hospital to get cleaned up. Mason arrives there and wants to interrogate the boys about Flora's whereabouts however the police prevent him from doing so and he leaves. A social worker tries to communicate with the boys but they appear to only be able to say one word, "Croatoan".
A couple of days later, Lee begins to accept the possibility that it's her fault that they may not find Flora alive. Mason blames her for Flora's disappearance but eventually accuses Lee of hiding her. They begin fighting and Mason shoves Lee, before leaving quickly. Matt, Shelby and Lee decide to rest in order to get a fresh head for more searching. Matt is woken up by a phone call from the police. They meet with the police who have discovered the charred remains of a corpse strapped to a wooden hoop. When lowering the hoop, they show a ring that was taken from the body. It's revealed to be Mason.
The following day, Matt is looking through the security footage from their house system. The tapes have recorded two events from the previous night; Lee leaving the house after they went to bed and her returning fifteen minutes later. He begins to speculate whether Lee is responsible for Mason's death and when confronted, Lee is understandably upset. As they argue, the famous medium Cricket Marlowe turns up at the house. He regularly works with the FBI to find missing children and claims he was called from New Orleans by a spirit. As he walks through the house, Cricket correctly identifies the cupboard under the stairs where Flora would play hide and seek. He also describes Priscilla by name and explains she's a ghost of a girl who died in the 1500s. He finds the bonnet and tells them that Flora has been abducted by the dead. The family is initially sceptical but allow Cricket to perform a séance to communicate with Priscilla, using the bonnet. Rather than Priscilla, it's The Butcher who emerges. Cricket demands she show herself.
The Butcher describes herself as the protector of the colony. She says that Shelby, Matt and Lee are all trespassers and that Priscilla has taken Flora off the grounds in order to protect her. Cricket calls out Croatoan and the windows shatter.
Cricket says he can find Flora but they would need to pay a fee of $25,000. Matt accuses him of being a fraud but a desperate Lee holds Cricket at gunpoint. Matt manages to calm her down and tells Cricket to leave. As he does, Cricket mentions to Lee that Emily says hello and wonders why she had stopped looking for her.
Lee is shaken when she's asked who Emily is. Emily is revealed to be Lee's first daughter. She pays Cricket the $25k fee and he tells her what he knows when they walk in the woods. The Butcher's real name is Thomasin White, the wife of John White who was the governor of Roanoke. He left his wife in charge of the colony when he travelled to England in search of supplies. The governor's son, Ambrose and a member of the colony, Mr. Cage ask why food rations are so tight and Mrs. White quashes talk of rebellions. However, the 116 settlers of the colony later disappeared without a trace. Lee is doubtful of the Roanoke story and Cricket says he knows what she's thinking. Mr. Cage places a spiked cage around Thomasin's head and locks it, chaining her up. Dying from thirst and hunger, Thomasin hears a pig squealing not far away. She runs from the sound and begs for deliverance. She is saved by a horned woman, who offers her food if Thomasin surrenders her soul to her. Thomasin eats the heart the woman offers her and returns to the colony. Ambrose begs his mother for her forgiveness which she gives him. The colony then moves inland towards North Carolina, contrary to the popular belief that they simply disappeared.
This is how the colony's path has crossed with the family's. The Butcher aims to kill the family in order to keep authority over the land she claimed all those years ago.
Cricket and the trio go further into the woods to search for Priscilla. Cricket attempts to negotiate with The Butcher in order to save Flora's life in exchange for leaving the land and burning the house to the ground. Shelby is exasperated at the idea however Lee and Matt had previously agreed. When Shelby goes to Matt for confirmation that they won't burn their house down, he's nowhere to be seen. When Matt is eventually found, he's seen having sex with the horned woman in a trance.
Matt has no memory of what happened with the horned woman however Shelby is furious with him when he returns to the house. When Lee makes her way back, she is arrested as she gets to the house.