In Yabello most of the range land was changed in to agricultural area and the remaining part were exposed to overgrazing and become seriously degraded. The aim of this study was in order to assess the impact of overgrazing on the soil characteristics of Yabello rangeland. The soil physico –chemical characteristics were evaluated by using three (3) grazing intensity level (ungrazed, moderate grazing and over grazing (each with 2 ha) were selected, which were located about 100 to 150m apart within a 10 ha area. This study indicates that Overgrazing homogenized soil characteristics. The ranges of spatial autocorrelation for soil organic C (SOC) and total N were at the HG site, which was considerably larger than that at the MG and OG sites. Soil nutrients such as organic C, N and K were show a small higher variation in the ungrazed areas than as compared to both moderately grazing and overgrazing, even though, a variation were generally low and differed non-significantly in all the study sites. Results on soil texture revealed that the sand, silt and clay contents were not much difference in the three land-use systems. In general, since the complex nature of soil nutrient patterns, which are largely dependent on land-uses and topography and also the current study were done based on small sample areas we call up researchers for a more broad-based additional research investigation to provide stronger and basic information in the Yabello rangelands in this regard.