Dance has emerged as a holistic activity integrating physical movement, music, emotional expression, and social interaction, making it a promising approach for mental health. Structured partner-based forms, such as ballroom and Latin dance, combine aerobic exercise with cognitive engagement and interpersonal communication, offering unique psychological benefits. This narrative review summarizes current scientific evidence on the mental health effects of ballroom and Latin dance, focusing on stress, anxiety, and quality of life. Empirical and review studies across diverse populations consistently show that dance participation is associated with reduced stress and anxiety, improved mood, enhanced emotional regulation, and increased self-esteem. These effects arise from physiological mechanisms, such as endorphin release, and psychological factors, including music, rhythmic movement, and social bonding. Partner dancing further supports emotional well-being by fostering social connection, trust, and communication, recognized protective factors against mental health challenges. Regular engagement also improves social functioning, emotional well-being, and life satisfaction, contributing to overall quality of life. Compared to traditional exercise, ballroom and Latin dance encourage higher enjoyment and adherence, supporting long-term participation. Despite these promising findings, methodological limitations exist, including small sample sizes, short interventions, and a lack of longitudinal designs. Overall, ballroom and Latin dance are accessible, enjoyable, and multifaceted mind–body practices with substantial potential to support mental health and enhance well-being. Further rigorous research is needed to confirm and extend these benefits across populations.