The invention discloses a water-resistant ceramic-like internal wall decorative paint which is prepared from the following components in parts by weight: 30-40 parts of silicone acrylic emulsion, 5-10 parts of urea-formaldehyde resin, 3-5 parts of VAE (vinyl acetate-ethylene) redispersible latex powder, 5-10 parts of nano kaolin, 1-5 parts of magnesium oxide, 1-5 parts of magnesium chloride, 3-5 parts of tea saponin, 15-20 parts of wollastonite powder, 5-10 parts of heavy calcium carbonate powder, 3-5 parts of sodium silicate, 1-1.5 parts of sodium hexametaphosphate, 0.5-1 part of hydroxyethyl cellulose, 1-2 parts of Texanol ester alcohol, 1-3 parts of sodium hydroxide, 10-15 parts of quicklime and 20-25 parts of water. The water-resistant ceramic-like internal wall decorative paint has the advantages of reasonable and scientific formula design, low cost, no toxicity, high safety, favorable smoothness, excellent water resistance and no sag after scratching. The invention also discloses a preparation method of the water-resistant ceramic-like internal wall decorative paint. The method has the advantages of simple processing steps and stable and controllable process, and is easy to implement and suitable for industrial production.