Multiferroics conventionally refer to the materials exhibiting co-existing electric, magnetic, and structure order parameters. Interplay between ferroelectricity, magnetism, and ferroelasticity in a single phase makes multiferroics truly multifunctional providing control over magnetic and electric ordering by applying electric and magnetic fields, respectively. Incorporation of multiferroic-based components into nanoscale applications will enable additional degrees of freedom in manipulating with spin and charge not easily attainable otherwise. Multiferroic bismuth ferrite lead titanate has been chemically synthesized in form of nanocrystalline films. The morphology of the films revealed a single perovskite phase confined within crystalline grains of few tens of nm in size. The films were found to exhibit ferroelectricity and ferromagnetism with characteristic electric polarization and magnetization hysteresis loops, transformations associated with spin reorientation in an external magnetic field and the spin-glassy behavior well above the room temperature. High degree of magnetic frustration and disorder in the spin system spatially confined in the nanograins, distribution of the grains anisotropy axis, inter-grain interactions, and the effects of uncompensated spins on the large effective surface/interface favored by the nanocrystalline morphology were assumed to be responsible for the anomalous magnetic properties and glassy dynamics in the films.