Since 2000, various novel nanomaterials (NMs) have been successively applied in latent fingerprint (LP) development, resulting in the emergence of NM-based development of LPs. Due to the innovation of developing materials and methods, the NM-based development of LPs has mushroomed. In the past decade, more and more research on LP development using rare earth (RE) luminescent NMs has been reported, and this has gradually become one of the hot topics in this research field. The development of LPs based on RE luminescent NMs possesses prominent advantages such as strong contrast, high sensitivity, good selectivity, and low toxicity. Therefore, it has important theoretical research values and broad practical application prospects. Recently, most papers reported in this field were research articles, while the review articles were very limited. In this review, the application progress of LF development based on RE luminescent NMs was systematically summarized from two aspects: the renewal of developing materials and the innovation of developing methods. On the renewal of developing materials, this review emphasizes the LF development based on RE down-conversion (DC) luminescent NMs, RE up-conversion (UC) luminescent NMs, and RE multi-functional nanocomposites. On the innovation of developing methods, this review focuses on LF development based on electrostatic adsorption, hydrophobic effect, chemical bonding, and aptamer recognition strategies. The trends of LP development based on RE luminescent NMs can be summarized as follows: in terms of the developing materials, they involve in the transition from DC luminescent NMs to UC luminescent NMs, from single luminescent NMs to multiple luminescent NMs, from photoluminescent NMs to multi-functional nanocomposites; in terms of the developing methods, they involve in the transition from non-specific development to high targeting development, from qualitative development of trace evidence to quantitative detection of residual substances, from physical development to chemical development. In addition, developing results are involved in the transition from effective development of trace evidence to nondestructive detection of biological evidence; developing procedures are involved in the transition from potentially toxic operation to environmentally friendly operation; developing assessments are involved in the transition from subjective, uncomprehensive and qualitative description to objective, comprehensive and quantitative analysis. At the end of this review, we also put forward some prospects for LF development based on RE luminescent NMs, which should be further studied.