There is a growing interest in BiFeO3-based alloys because of the possibility it offers for developing high-temperature high-performance piezoelectric materials and for their interesting multiferroic properties. Often such ceramics are synthesized with additives either to reduce/suppress leakage current that the system inherits from the parent compound BiFeO3 or to promote sintering via formation of the liquid phase. We demonstrate here the propensity for stabilizing ferromagnetism in the ferroelectric solid solution BiFeO3–PbTiO3 (BF–PT) when synthesized with additive MnO2. Detailed investigation revealed that the ferromagnetic property of the ceramic is extrinsic and caused by the additive enabled precipitation of trace amount of the ferrimagnetic Pb-hexaferrite phase, not easily detected in conventional x-ray diffraction measurements. We also show that the ferromagnetic property is induced in Co-modified BF–PT. However, in this case, the additive stabilizes the CoFe2O4 spinel ferrite phase. While our findings offer a strategy to develop particulate magnetoelectric multiferroic composites using additive assisted precipitation of the ferrimagnetic phase(s) in BiFeO3-based ferroelectric alloys, it also helps in better understanding of the electromechanical response in BFO-based alloys.