A material combining low remanence with a low coercive force has been developed by applying a high‐temperature heat treatment to alloys in the region of 9 wt % aluminum iron. This material displays a large grain size with a predominantly (111) texture in the plane of the sheet. Epstein strips as well as rings of 9% aluminum iron had a remanence of 1.66 to 2.68 kG and a coercive force of 0.25 to 0.3 Oe. Other typical properties were a maximum permeability of 2700, inductions of 12.9 kG at 10 Oe and 16.1 kG at 100 Oe, electrical resistivity of 90 &mgr;&OHgr;‐cm, and Rockwell B hardness of 87. The properties of these alloys may be particularly suitable for application in relays, where a low residual induction would minimize or eliminate the air gap and good mechanical properties would reduce the wear of the relay pole faces.