“…people exposed to high levels of EMF have lower levels of the anti-convulsive melatonin, leaving them prone to so-called “micro-seizures” and the resulting hallucinations this can lead to.” via Magnets, Mental Health, & Me: Down The Rabbit Hole | Depression Time.
Electromagnetic fields and hallucinations. Hmm. This is concerning. I live alongside multi-line, high-voltage power poles. According to the National Institute of Health, power lines are non-ionizing and the electromagnetic field strength plummets within even short distances. “If you are concerned about EMFs emitted by a power line or substation in your area, you can contact your local power company to schedule an on-site reading. You can also measure EMFs yourself with the use of a gaussmeter, which is available for purchase online through a number of retailers.” (National Institute of Health)
I take the supplement melatonin to help regulate my circadian rhythm as I’m prone to insomnia. I’ve heard of limited studies about melatonin being used to help people who are blind regulate their sleep cycles since they do not have light and darkness cues, though it seems to work in only half the participants (more studies underway). Melatonin decreases with age and often the elderly experience irregular sleep/wake cycles, so perhaps a supplement makes sense.
Electromagnetic fields is a new one. I have been diagnosed with periodic limb movement disorder (restless legs but involving more than just the legs) and melatonin is reputed to help with this seizure-like problem, though there is little data to prove or disprove this notion. The Mayo Clinic has a grading system, A through F just like in school, regarding melatonin’s rumored effectiveness, as well as cautions. This is a drug (yes, drug) with little testing to its claims.
The only reference I could find to (hypnagogic) hallucinations has no direct connection to EMF or melatonin. Rather the condition is a complex mechanism—just as we are. This was an interesting jaunt though and what helps some, helps some.
A Layering of Perception 
I heard or read or saw that living next to high voltage power lines also cause people to believe their houses are haunted. For some reason they effect a person’s perception and cause [like you said] hallucinations that manifest as ghost. Is your house haunted Sandra?
Why, I don’t believe it is, though it has only been here since 1998. I know little of its history though as we moved in only a few years ago. I’ll keep wild eye out. Thanks for asking!