Liquid-phase detection of biological targets utilizing magnetic marker and superconducting quantum interference device (SQUID) magnetometer is shown. In this method, magnetic markers are coupled to the biological targets, and the binding reaction between them is detected by measuring the magnetic signal from the bound markers. Detection can be done in the liquid phase, i.e., we can detect only the bound markers even in the presence of unbound (free) markers. Since the detection principle is based on the different magnetic properties between the free and bound markers, we clarified the Brownian relaxation of the free markers and the Neel relaxation of the bound markers. Usefulness of the present method is demonstrated from the detection of the biological targets, such as biotin-coated polymer beads, IgE and Candida albicans.