I experience them in a first-person, just like in a real life. I have never had a dream in which I`m observing what happening as a third person, but it`s always on rails and can`t consciousness control the dream. In some cases, I even have real sensations like pain or physical pleasure. Sometimes the experience is so real that when I wake up for a short period of time I am wondering if that was a dream or something that actually happened before I fall asleep.