Alex Hunter is visiting Wolf Creek for two weeks, spending time with his Aunt Marta and Uncle Colin. Alex hasn't actually seen them since he was eight years old. Regardless, they all seem to get along just fine. Although things get strange right off the bat when they warn Alex to stay away from the house next door, the home of their neighbors the Marlings. When the subject of werewolves is mentioned, they also act vague on the subject. Despite the warnings, Alex still looks at the Marlings house, only to find that it's destroyed. Their other neighbor, a girl named Hannah, also seems to know something about the werewolves, but is keeping it to herself.
The next night, Alex sees light from the window of the Marlings house. He heads outside to find his camera and then studies the yard of the Marlings. It's also a mess with what look like animal footprints on the ground. The next morning, Aunt Marta and Uncle Colin warn Alex about trying to spy on the Marlings, claiming they were called that night over that incident. When Alex tries to mention the footprints, Uncle Colin claims they're just German shepherd footprints. However, they also begin to lock Alex inside his room, and eventually bar his windows so he can't leave in the middle of the night. He still hears strange noises from the Marlings house.
The next night Alex manages to escape his room and spies into the window of the Marlings house where he sees two people putting on what appear to be some kind of werewolf skins. He accidentally causes the werewolves to spot him and give chase until they get bored and enter the woods. Alex follows and spots the two werewolves tearing apart a rabbit and eating it. The two werewolves return to the Marling house and take off their skins, revealing them to be Uncle Colin and Aunt Marta. Also, there is no family called the Marlings that live there, the house is empty. He tries to warn Hannah, but his aunt and uncle arrive, acting normally.
On Halloween night, Alex finally tells Hannah about what's going on. She suggests that if they can get rid of the skins, Uncle Colin and Aunt Marta will be free from the spell. The kids get a hold of the skins and put them on, only for Colin and Marta to arrive. They beg for their skins, but the kids keep them away long enough for the full moon to emerge. This manages to remove the curse put upon Colin and Marta, who no longer need the skins.
Both Colin and Marta are described as being old and skinny, like two skinny grasshoppers with tufts of gray hair on their heads.
Aunt Marta and Uncle Colin are rather kind, but due to being cursed to wearing the skins, they become more paranoid, especially worrying that Alex will find out the truth.