The growing volume of municipal solid waste incineration residues (MSWIR) has made their effective management an urgent environmental concern. Due to MSWIR’s favorable mineral components and cementitious properties, its potential application in cement concrete has been garnering growing attention. This paper reviews the chemical composition of MSWIR from different regions and the properties of cement-based materials containing MSWIR. It discusses the advantages and disadvantages of various resource utilization pathways for MSWIR, investigates the challenges faced in using MSWIR as a mineral resource for producing cement-based materials, and analyzes the possible causes. Additionally, it provides feasible solutions to address these challenges. This review indicates that the physicochemical properties of MSWIR exhibit significant regional characteristics. Although the incorporation of MSWIR often weakens the performance of cement-based materials, it demonstrates considerable potential as a raw material for cement, a supplementary cementitious material, and a substitute for concrete aggregates when its threshold is properly controlled. Both incineration fly ash (IFA) and incineration bottom ash (IBA) possess distinct advantages and disadvantages in their resource utilization pathways. It is worth noting that while the short-term performance of MSWIR products meets regulatory requirements, their long-term performance requires further investigation.