The Vietnamese real estate market has seen significant fluctuations, leading to a growing number of individuals facing financial distress. Tuan, a 37-year-old office worker in Hanoi, invested heavily in real estate during a property boom, borrowing from banks and family to purchase land with the hope of quick profits. However, as the market turned, Tuan found himself unable to sell his properties and burdened with mounting debts, leading to severe psychological strain.

By early 2026, Tuan's investments had become a financial nightmare. He was forced to sell one piece of land at a loss to alleviate some of his debt, while the other remained unsold. His monthly salary was barely enough to cover living expenses, let alone the interest on his loans. With creditors pressing for repayment, Tuan resorted to high-interest loans to manage his debts, exacerbating his financial woes.

As his financial situation worsened, Tuan experienced severe insomnia and heightened stress, prompting him to seek help from Dr. Tran Thi Hong Thu, a former Deputy Director of Mai Huong Day Hospital. Tuan was diagnosed with depression, a condition that has become increasingly common among those burdened with debt in Vietnam.

Dr. Thu noted that individuals in debt are three times more likely to suffer from mental health disorders compared to those without financial burdens. This correlation is evident in various studies, including one from the UK that found nearly half of individuals struggling with debt also faced mental health issues.

In Vietnam, while specific statistics on this issue are lacking, research has indicated alarming trends, particularly among young men. The pressures of financial instability can lead to severe psychological consequences, including suicidal thoughts.

The biological response to financial stress can trigger a cycle of anxiety and depression, as the brain perceives financial threats as existential dangers. This reaction can lead to chronic stress, which negatively impacts emotional regulation and cognitive function.

Experts recommend separating one's self-worth from financial status to alleviate psychological burdens. They advise individuals to quantify their debts and create actionable plans to address them, rather than succumbing to overwhelming anxiety. Additionally, maintaining a healthy lifestyle through proper nutrition, exercise, and strong social connections is vital for mental well-being.

In conclusion, as the real estate market continues to fluctuate, the psychological impact of debt on individuals like Tuan highlights the urgent need for mental health support and financial education in Vietnam.