The traditional home decoration design is mostly plane plan, which has certain limitation on the vision, and also has a certain influence on the future decoration. The introduction of virtual reality technology in the field of home decoration design will be a revolution in the field of home decoration design. This paper analyzes the current virtual reality technology from multiple perspectives. Virtual reality technology has a huge development space in the field of home decoration design, including combining virtual reality technology with BIM and other technologies to find the optimal, effective and cheap application.