In this study, dynamic boundary element method using mass matrix is derived, using fundamental solutions for the semi-infinite domain. In constituting boundary integral equations for the dynamic equilibrium condition, inertia term in the form of domain integral is transformed into boundary integral form. Corresponding system equations are derived, and a boundary element program is developed. In addition, equations for free vibration is formulated, and eigenvalue analysis is performed. The results from the dynamic boundary element analysis for a tunnel problem are compared with those from the finite element analysis. According to the comparison, boundary element method using mass matrix is consistent with the results of finite element method. Consequently, in tunnel vibration problems, it results in reasonable solution compared with other methods where relatively higher degree of freedoms are employed.