Some interesting dream scenarios here that make this an interesting read – but where it really works well is in capturing that place where dreams and reality overlap, in the seconds before waking, when something real comes into the situation!
Felt very believable, and I think it was important that the dreams were the real point of the story, rather than using a cliffhanger upon waking for dramatic effect.
Definitely know that feeling at the end of a dream, wondering what was going to come next. First paragraph felt a bit shaky, or clunky maybe, somewhere in sentence length or structure. Not a big deal, just something to work on.