Artificial nest boxes may increase the abundance of nest sites for secondary cavity-nesting birds and provide more breeding opportunities. Since birds have strong preferences for certain characteristics of nest boxes, careful selection of installation sites can improve the occupancy rate of nest boxes and enhance reproduction. From 2016 to 2019, we studied the parameters affecting birds’ occupation of nest boxes in Xianrendong National Nature Reserve in Liaoning, northeast China. Among 241 nest boxes, five were occupied continuously for 4 years (1.6%), 42 for 3 years (17.4%), 69 for 2 years (28.6%) and 88 for 1 year (36.5%), with 37 (15.3%) never being occupied for 4 years. The birds using the nest boxes were mainly cinereous tits (Parus cinereus), varied tits (Sittiparus varius), marsh tits (Poecile palustris), and Eurasian nuthatches (Sitta europaea). Our results showed that the occupation rates were positively correlated with nest box height, nest openness and proportion of conifers. Tree or pole that nestboxes are attached to also had a significant effect on occupation rates, and nest boxes hanging on conifer trees were occupied more often than those on deciduous trees and wooden telegraph poles. Breeding performance was not affected by occupation rates. These findings demonstrate that nest boxes should be hung high on a coniferous tree located in woodland with a higher ratio of conifers and open space in front of the nest when hanging nest boxes to attract small cavity-nesting birds.