Sintered Iron was one of good soft magnetic materials. However, its magnetic flux density was smaller than those of wrought magnetic iron. The small magnetic flux density was caused by low sintered density. In order to increase the sintered density, we developed a new warm compaction technique using die wall lubrication (WC-DWL) with lithium stearate. According to the method, very high-density of sintered body could be fabricated. Pure iron powder compacted at 1176 MPa and sintered at 1523 K had properties as follows; sintered density=7.76 Mg/m³, μ_m=5300, B₁₆₀=1.16 T, B₂₄₀=1.28 T, B₄₀₀=1.40 T, B_2k=1.60T, and _bH_c=110A/m. Some of the sintered iron showed anisotropic dimensional change and anisometric microstructure, which were linked to abnormal grain growth up to several mm in length. This anomaly was the more pronounced the higher the green density of the specimens was.