My friend looks for a horror movie from 80s or 90s (definitely, not 2000s). The main monster looked like a mutated wolf, it probably had red eyes, a lot of fur like a wolf, a dog-like snout.
He killed people and moved around a lot in tunnels like foxes. I remember the last scene of the film is everyone rejoicing that they’ve killed him and buried him, when his hand pops out of the ground. In the opening credits the camera was moving through a slightly misty forest, the music did the mood like in The Omen.