Nanocomposites of ethylene vinyl acetate (EVA) containing iron oxide nanoparticles (IONPs) were prepared by open mill‐mixing technique. The effect of loading of IONPs in EVA was characterized by Fourier transform infrared (FTIR), X‐ray diffraction (XRD), transmission electron micrograph (TEM), and dynamic mechanical analysis (DMA). The FTIR spectra ascertain the intermolecular interaction between the polymer and IONPs. TEM and XRD studies revealed the structurally ordered arrangement of nanoparticles within the polymer matrix. DMA showed an increase in storage modulus and lesser damping characteristics of composite with the increase in loading of nanoparticles, whereas these properties decreased significantly with increase in temperature. The glass transition temperature shifted toward higher temperature with the increase in content of IONPs. Magnetic properties of the nanocomposites were investigated using vibrating sample magnetometer at room temperature. The saturation of magnetization was progressively increased with the increase in content of nanoparticles. The electrical conductivity, dielectric constant, and dielectric loss of the composite were found to be increased with the increase in volume fraction of nanoparticles. The polymer–filler interaction was also determined from the swelling studies. POLYM. COMPOS., 35:1989–1996, 2014. © 2014 Society of Plastics Engineers