The present invention relates to a process for preparing transparent iron oxide pigments comprising reacting an iron compound, an ammonia releasing compound and water in a non-aqueous solvent in which both the iron compound and the ammonia-releasing compound have appreciable solubility. The reaction is performed by refluxing this composition. Where a red pigment is desired, a high boiling alcohol may be employed whereby the refluxing is carried out above 200.degree. C. which thus converts the pigment to a red iron oxide pigment during the reflux step. In order to get a metallic finish, aluminum flake pigment may be added to a mixture of the iron compound and solvent prior to addition of the ammonia-releasing salt.