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What causes hallucinations? Mental illnesses . Mental illnesses are among the most common causes of hallucinations. Schizophrenia, dementia, and delirium are a few examples. Substance abuse . Substance abuse is another fairly common cause of hallucinations.
What you are describing could be a visual hallucination or a delusion (a mistaken belief). In either case there are many possible causes. Sometimes sensory loss, in the form of vision and hearing loss, causes people to hear and see things that are not there. There are also medications that can cause hallucinations or delusions or medications that are not being prescribed or taken properly.