https://lithub.com/10-works-of-literary-horror-you-should-read/

Like all genres, literary fiction included, horror is a watery one. What makes something horror? What makes something literary? No one can say exactly. (…) I suppose my idea of literary horror is similar to the “suggestive horror” that Brian Evenson discusses during an interview at The White Review: “The notion of a more suggestive horror, which raises the spectre of an insidiously elusive reality, is much more frightening than a lot of what gets called horror, and more realistic than what gets called realism.”

Book suggested:

• The Changeling by Victor LaValle
• Last Days by Brian Evenson
• Beloved by Toni Morrison
• .Piercing by Ryu Murakami
• The Haunting of Hill House by Shirley Jackson
• A Head Full of Ghosts by Paul Tremblay
• After the People Lights Have Gone Off by Stephen Graham Jones
• Blood Crime by Sebastià Alzamora
• Let the Right One In by John Ajvide Lindqvist
• House of Leaves by Mark Z. Danielewski