An effective ray tracing method based on virtual source tree for prediction of indoor radio propagation was presented in this paper. The data of transmiting source, reflection source, diffraction source and receiving point were stored with many-fork tree in Delphi, and the validity of the nodes of the tree was estimated, to make the ray tracing course more simple and efficient. It was found that the predicted results with the method are in good agreement with the simulated results in FDTD, and the validity of the method is also verified by the experimental test.