Virtual Reality (VR) has been defined as the use of technological interfaces to simulate the behaviour of 3D entities that interact in real time with a user immersed via sensorimotor channels. The aim of this study is to explore the possibilities and limitations in the use of VR systems in mental health treatment and research. We conducted a review of articles addressing the qualities of the current state of research regarding the efficacy and clinical applications of VR as a therapeutic tool. Despite finding general consensus about anxiety disorders, there's a lack of published empirical evidence regarding other mental health disorders. Nevertheless VR components are being steadily used more often for the assessment, treatment and research for more pathologies.