Single phase soft ferrite nanocrystallites could be synthesized by various methods. Most of the methods start from preparation of powder or they are high temperature synthesis. We have tried to synthesize MgFe2O4 nanocrystallites at low temperature to improve their properties. MgFe2O4 magnetic particles with crystallite size (similar to 7.4nm) were successfully synthesized below 200 degrees C by auto- combustion assisted sol-gel method with the control of pH value and hydrolysis conditions. The pH dependent combustion nature has been studied by thermal analysis (DTA and TG) of the dried gel. The formation of single phase cubic spinel was confirmed by XRD analysis. The morphology of the powder was characterized by FESEM. It represents a soft agglomerated structure composed of magnetically interacting ultrafine crystallites. These nanocrystallites synthesized at low temperature improved electrical and magnetic properties and the results discussed.