The TVs and Radios got their own sounds, the former getting a show featuring people talking in English, perhaps a detective show, and the latter getting some sort of sports event. They were required to freeze the water by turning off the furnace on the first floor. There is also a flooded room on the second floor, guarded by a robotic shark which would send the player out of the house if it caught them. The house also contained an elevator which the Neighbor could use. There were two floors, as well as an unfinished third floor. There was also a train track running around the house, and a tram car could be seen, though it could not be reached. The Neighbor's house was multi-colored and looked less like a standard house. There was no intro music, other than a tense organ track. This cutscene consisted of the view switching between the player driving to their new house and the Neighbor grabbing a pair of binoculars, walking up the stairs and looking out of his window. This was also the first build to feature a tutorial and an intro cutscene. When their vision returns, the Neighbor can be seen burying the protagonist alive. Upon opening the basement, a cutscene would play where the player starts to approach the door, and then the Neighbor appears from the left, closes the door and rushes the player.

They also did not need a four-digit code anymore, and in this build only, the Neighbor had 3 different chase themes, and the front doors had a unique sound effect for opening/closing. In it, the player required the same items to reach the basement, though removing boards from the basement door was altered to instead require clicking the four nails instead of just clicking the board. Pressing "F" would instantly grab an object, and pressing the left mouse button while holding the right mouse button would throw objects. The player could also lean in order to look around corners, and the controls were different. He set up cameras, some of which could be set up on the floor. The Neighbor was able to spot the player in their own house, though he couldn't catch them there without a glitch. During a chase, the Neighbor would throw bear traps to trap the player, and tomatoes which would tint the player's screen red for a few seconds and obscure their vision. The Neighbor could be distracted by throwing items, which would lure him to that location, or by ringing the doorbell or breaking a window. The TVs and radios had the same sound, a fast talking Spanish announcer advertising a bank. Additionally, the Neighbor would place furniture barricades that could be knocked over. One of the rooms had its doors barricaded by a fridge and a table, preventing the player or Neighbor entering normally, though they can smash the window to gain access. The house had two layouts, which affected the placement of items and the accessibility of rooms. The player's own house has a bunch of empty inaccessible rooms, and one room with a bed and an empty hallway containing the front door. The Neighbor's house was blue, and while pretty large on the outside, it only contained one floor, with the stairs to the next floor blocked by a pile of furniture. In it, the player was required to get a crowbar or a hammer, a key or a lockpick, and a four-digit code to unlock the basement, which was an empty room under the stairs. This was the first publically available build. It contains an ending in which the Neighbor catches the player trying to enter his basement, burying them alive. The unplayable version of Hello Neighbor seen in the announcement trailer.