Set in the year of 1901 in Cumbria of northern England, a young aspiring author named Edith Winters types on a typewriter for her new book based on a family tragedy she had fourteen years ago when she was a child. As she was typing, she has a vision of her terrifying past encounter with her mother's restless spirit when she was a young girl. Feeling her mother's dark, decaying fingers wrap around the young Edith's shoulder, the girl shudders in her bed, trying to will away her terror as the ghost whispers "Beware of Crimson Peak" to her. Snapped back to the present, her publisher tells her that women should write romance instead of ghost stories.

One afternoon, while working at her father's office, she sees visiting aristocrat and inventor, Sir Thomas Sharpe, accompanied by Lady Agatha Sharpe. Thomas seeks money from her father, Carter Winters, for his latest invention: a clay mining rig. After Winters refuses Thomas' request for money, Sir Thomas turns his attentions to Edith and compliments her writing. Charmed by this notion, Edith feels her breath being taken away.

At home, Edith helps Carter get ready for a party in another town as she tells him he was a bit hard on Thomas. Carter defends himself, saying there is something about Thomas he doesn’t like. He encourages her to go to the party with him, but she prefers to stay independent and make a career as a writer. As soon as Edith bids him good bye, she goes upstairs to her room with her draft, closing the door. Behind her, the doorknob began to jiggle up and down until the door itself moves open. The same ghost of her decaying mother suddenly appears and bellows, 'BEWARE OF CRIMSON PEAK'. So scared she was, the ghost floats away, shutting the door. As it opens again, Edith becomes startled, until she only sees the maid. She tells Edith that she has a guest downstairs.

Downstairs, it's Thomas waiting for her. Edith tells him that her father has already left for a party and that he just missed him. Thomas tells her that he knows since he waited outside in the rain. He is also headed toward the party, but she tells him that she won't be going. That was until he tells her he wants her to come as his guest, to which she accepts. At the party, a woman is playing the piano for all the guests. It is revealed to be Lady Lucille Sharpe, who seems unhappy. Thomas introduces her to Edith, as he notices that Agatha was missing. Lucille is cordial, but unfriendly towards Edith. Lucille asks Thomas to demonstrate a waltz, telling that only the best dancers can waltz, while holding a lit candle without blowing it out. He says that it will depend on who he chooses as a partner to make it happen – and extends the invitation to Edith. As they dance, Lucille watches them at the corner of her eye as she plays the music from a piano. The dance itself was too perfect. At the end, the candle remained lit. Happily, Edith blows it out.

Upstairs in the City Hall, in one of the rooms, Lady Agatha, already furnished in formal clothing, appears to be looking directly at a mirror in front of her. She appears to be trembling as she seems to be in a trance-like state, hearing things, until she didn't realize someone approaching her. Feeling a hand on her shoulder, she abruptly turns around, startled, only to see that it was only Thomas. Seeing her shake, he manages to make it stop by placing her hands in his own. Quickly, she holds onto him, letting him cradle her.

The next day, at a park, Thomas and Edith begin to spend time together where he begins to become smitten with her. He helps give advice on her draft, complimenting the ghost story aspect as she struggles to add in romantic elements. The two then see Lucille cutting a cocoon from a tree, letting Edith approach her. She notes that it’s a butterfly, and Lucille tells her that it won't be yet. All sorts of butterflies fly around them, as Lucille talks of their inevitable deaths, and despite them being youthful and beautiful, they too must die, like all human beings. Near them, Thomas is still reading the draft as Agatha approaches him with a flower, it shows to be nearly dying.

When they are alone, Lucille voices to Thomas that she thinks Edith is the wrong choice because she’s younger than the others, just a baby. He tells her to trust him and reminds her that he’s going to need “the ring,” which upsets her. She takes off a large red ruby ring and tells him to remember that it’s hers – she’s earned it after everything she’s done for the two of them.

The next day, they arrive at a large and brilliantly clad, but dilapidated mansion, that's teetering on the red clay with snow and rain on its rooftops in a carriage. As soon as they get there, Edith warmly announces that they would be a happy family, but none of the Sharpe's react. To distract Edith, Lucille tells Thomas that Edith requires a hot bath. Before she leaves with him, Edith asks Agatha for a copy of the house keys, but Agatha is forced to tell her that some parts of the house were unsafe, and that Edith should familiarize herself with the house first before a copy could be made. Edith seems to agree before leaving with Thomas. Lucille looks at Agatha standing near her, and coldly tells the little sister to go help.

Edith takes her bath before she has a hallucination of the bathwater turning into blood. She brushes it off before Agatha comes in to give her fresh clothes. Edith is concerned of the youngest Sharpe's quirky behavior, but Agatha brushes it off as Edith notices dark marks on her arms. She decides to get out, and help her, but Agatha firmly tells her that she is fine before leaving. As soon as she does, Edith changes into the fresh clothes before she feels that something or someone is watching her as she hears the same warning: "Beware of Crimson Peak" as an unknown figure stands at the bathroom doorway. Edith turns around, but it disappears.

The next day, Edith doesn't say anything about the encounter before she follows her curiosity and ventures through the halls of the mansion while taking a candle. As she does, she finds a small trunk on a shelf in the hallway and opens it, revealing to have jewelry in it. She proceeds to touch them before the trunk shuts on its own. She then hears a roar of eerie wind before she then hears the sound of scraping. Startled, Edith looks around, but finds nothing. As she tries to figure out what it was, she looks down the dark hallway before she sees the first two lights down the hallway go out one by one slowly. As the third flashed before going out, an apparition of a red covered woman appeared in the distance as she staggers down the hallway towards Edith as she kept appearing every time the lights flashed. Terrified,

Edith runs downstairs to where she saw Thomas by the fireplace. She runs to him, seeking comfort. He sits her down on a comforting chair as she cries. Lucille begins to make her a cup of tea as she tells her that she was only sleepwalking, but Edith denies it, knowing that what she saw was real. Lucille coldly tells her that she was just having a bad dream. Hoping to calm her, Thomas offers her that they should go to the post office. Edith tells them that she has to leave, but Lucille firmly tells her that this was her home now and that there was nowhere else for her to go. Thomas becomes unsure as he stares Lucille down. Looking at Agatha in the corner of the room, Thomas thinks about this whole situation before he comes to a decision.

In the middle of the cold night, Thomas notices Agatha standing outside in a sleeveless dress, staring into space, lightly crying. As soon as he reaches her, his arms wrap around her to keep her warm, making her become startled for a moment. As she turns around to look at him, he notices small cuts on her face and bruises on her arms. Lightly touching her hand, she was pale and frigidly cold to the touch, and he immediately helps her inside.

As he puts a rag on her face and down her arms, she suddenly asks him if they should stick to the plan. He responds that they must, and that they need to. She then asks him if he loves Edith, and he responds that he feels different with her unlike the others. This catches her attention and she stops him from moving the rag. She tells him that he was feeling love, before she asks him if he loves herself. He again confirms this, and proves it with a touch of affection.

The next day, Thomas takes Edith to the so-said post office, they are forced to spend the night at an Inn because of a snow storm, and they have an intimate moment in their shared bedroom. She confides to him that she felt drawn to him as if she has known him forever, and the two of them kiss.

The next day, as Edith and Thomas return to the mansion, Lucille was nowhere in sight. As Edith searches for her, she notices that a pan on the stove was burning. Managing to

asks Edith to leave so she could talk to Thomas, alone. As soon as Edith leaves the room, Lucille suddenly slaps him in the face, accusing him for not returning. Both of them were unaware that Agatha was watching them at a doorway. Thomas suddenly yells back for her to stop it. He asks her if they must do it. Lucille responds that they should. She also says that he wouldn't leave her. He agrees that he can't. Scared at what she is witnessing, Agatha knew what her older sister was doing to the younger brother: she was seducing him. Having enough, Agatha runs out of sight just before Lucille notices her youngest sister take her leave.

As Edith continues to explore the mansion, she begins to go to Thomas' office, finding papers and documents inside his desk, discovering that Sir Thomas and Lady Lucille have had a long-term incestuous relationship, resulting them to have a baby, who unfortunately died from an illness. After their relationship was discovered, Lucille made Agatha murder their mother by stabbing her to death in her bed. Edith also discovers that Thomas previously married three women and were fatally poisoned in order for the siblings to use the women's family money. After they were killed, the siblings used the money to inherit the family manor and support themselves as well as fund Thomas's inventions. Edith then realizes that she, too, is being poisoned from all of the tea she has been offered.

Despite the warning that Thomas told her before, Edith ventures into the attic where the Sharpe siblings were held by their abusive mother. As she was looking around, Agatha's voice startles her from behind, causing Edith to turn around and see the youngest Sharpe spaced out at the window along with new bruises and cuts on her body. She tells her that if she wants to know more, she must go down to the rendering vats below. Edith hesitates, but goes anyway with Agatha watching her leave.

Taking the elevator to the basement, she discovers the vats in the mines, which were locked, but one of them wasn't as Edith opens the huge lid where she sees the decaying corpse of one of Thomas' previous brides. Panicking, she runs out of the mines and back upstairs until she bumps into Thomas. He tries to reassure her, but she wildly accuses him of what they were doing to her, and what they will eventually do. Thomas manages to comfort her and reassure her that he wasn't going to hurt her.

Determined to protect her, Thomas goes to the basement while taking the money bids and threw them into the fire. Surprised and shocked, Lucille confronts him as she came out of hiding. Thomas turns to face her as he tells her that she will not touch Edith. He tries to convince her that they can leave the house and start a new life, but his older sister denies it. Agatha comes into the room to see the two as Lucille accuses him of failing to keep his promise to not love another. He tells her that it did happen and that he was. Realizing that he chose Edith over her, Lucille loses control and suddenly stabs him in the chest with a knife in anger and sadness, making Agatha go into shock. Thomas stumbles back against the nearest wall as Lucille held the knife that was still submerged in his chest. She stabs him again while breaking into tears. Thomas stumbles before he finally sits in the nearest chair and manages to pull the knife out. Agatha runs to his feet, as he tries to reach out to her. He was about to say something to her, but a tear of blood falls from his eye and his head hangs low, losing his life. As he fell forward from the chair, Agatha manages to catch her older brother, and began to wail and sob in pain as she held his lifeless body.

Still in her spot, Agatha turned to look at her older sister, who picks up the bloody knife from the floor and gazes at the youngest. Knowing that her sister wasn't in her right mind, Agatha sadly accuses her of killing him. As she was about to crawl out the room with a broken heart, Lucille closes the door to prevent her from leaving. The little sister gazes up at her as the eldest sister snapped back at Agatha that it was instead her fault for making Thomas' death happen. The little sister manages to slowly stand as she was insulted by Lucille. As she was stalking towards her with the knife in hand, Agatha walks backwards. Earning her chance the escape, Agatha throws some dust in Lucille's face to blind her before she manages to run.

Running to Thomas' bedroom, Agatha locks the door before she tries to find something she could use to defend herself with until she heard Lucille shrieking in a crazed rage before she began to break her way through the wooden door by hitting it with a fireplace poker. Panicking, Agatha finds a champagne bottle and breaks it in order to make a sharp edge. The door now making a hole, an arm reached in to unlock the door from the inside before it opened completely, showing a very uncontrollable Lucille raging towards her. Agatha manages to fend her off by grasping her arms to push her, but they both tumble into the hallway that was upstairs on the second level at the railing, in the process.

Thunder roared loudly outside as Lucille grabbed the little sister and threw her face-first into a mirror before she sends a punch to her face. Agatha tries to hold her off before another punch was thrown at her and was pushed to the ground. Trying to crawl away, Lucille manages to grab her before Agatha flips them over so she was above Lucille. With cuts on her face, Agatha manages to punch her before she is forced to neutralize her by making her head hit the floor multiple times, knocking her out.

Edith hears the commotion and runs down the hallway, seeing Agatha with a knocked-out Lucille. Seeing Edith, Agatha leads her out of the mansion and tells her to run. She does, but unknown to Agatha, she unexpectedly gets stabbed in the back by a now-concious Lucille. The little sister turns towards the eldest before tears fell down her face as she falls to the ground, dead, with her eyes still open.

Edith manages to run outside, and into the cold on property grounds, which was foggy with the ground covered in snow and red clay on top of it, making the snow look as if to be covered with blood. Unknown to her, a ghost dashes behind her and she turns around, only to find nothing, but face to face with Lucille. Lucille threatens to kill her as Edith tells her that they are monsters. Lucille agrees and adds that they were called that before their mother died. Edith trips and stumbles to the ground backwards as Lucille approaches her with the knife in hand. Suddenly, Lucille freezes before she turns around to see the spirit of Thomas. Unknown to her, Edith manages to hit her from behind with a shovel, damaging her skull, and killing her. Edith approaches the quiet spirit of Thomas before she tries to reach out to him. Managing to touch his face, a cold, misty hand grasps Edith's wrist and it reveals to be the spirit of Agatha next to him. She gives Edith a quiet thank-you before she was enveloped in her older brother's arms. He gives Edith a quiet farewell before both of their spirits faded away, leaving Edith alone. She makes her leave by managing to walk to the entrance gate of the property and gave the house a final gaze before disappearing. Unaware to her, inside the house, shows the spirit of Lucille playing the piano while the spirit of Agatha and Thomas gazed out the window together. The youngest sister comments to her eldest brother that she will miss Edith. He kept her close until he says that love will always betray them and they will get to see her soon, also adding that they are always watching her. The house then falls into darkness as the sign outside on the gate is shaken, revealing the property's real name: 'Crimson Peak'. The story ends in black with the whisper, "Beware of Crimson Peak".

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