Powder metallurgy methods, particularly ball milling, are up-and-coming in tuning metal matrix composite (MMC) properties. This study uses ball milling at various milling times to create an aluminum matrix composite (AMC) reinforced with magnetite nanoparticles. The milling time was optimized to create an AMC with favorable mechanical and magnetic properties, and its effect on magnetism, microstructure, and hardness was studied.The AMC displayed the highest magnetic saturation of 11.04 emu/g after 8 h of milling. After compaction and sintering, characterization of the final composite material using Energy Disperse Spectroscopy and X-ray diffraction (XRD) showed the presence of Al2O3and Fe3Al phases leading to enhanced mechanical properties in terms of Vickers hardness that reached a value of 81 Hv corresponding to an increase of 270% compared to unreinforced aluminum.