The invention discloses a method for preparing magnetic iron oxide nano particles. The method comprises the following steps of: dissolving iron pentacarbonyl and a modifier into a solvent, atomizing by virtue of an ultrasonic atomizer, loading a solution into a heater by virtue of a carrier gas, carrying out gasification, decomposition and oxidation, introducing products into collected fluid, mixing, stirring, and carry outing surface reaction to obtain modified magnetic iron oxide nano particles. The modifier used in atomized liquid and the collection fluid is selected from oleic acid or oleic amine, triethylene glycol, polyethylene glycol PEG and derivates thereof, glucosan, citric acid, tetramethylammonium hydroxide, carboxylic acid polyethylene glycol and derivates thereof, polyvinylpyrrolidone (PVP) and dimercapto succinic acid or a mixture of the substances; the carrier gas is a mixed gas of oxygen gas and argon gas, and the heating process is carried out in two stages. By applying the method disclosed by the invention, the magnetic iron oxide nano particles with uniform particle sizes can be prepared while the advantages of speediness, high efficiency, continuous production and low pollution are achieved; and the prepared iron oxide nano particles can be used in the fields such as biology, medicine, catalysis and mechanical lubrication.