In order to analyze the functional Magnetic Resonance Imaging (fMRI) data, the parameters of a nonlinear model for the hemodynamic system, so called Balloon model, were characterized and estimated. Two different approaches were applied to estimate these parameters. In the first step of both approaches, the voxels which show neural activity were identified. Then, the parameters of the balloon model for these active voxels were estimated by both steepest descent algorithm, and through genetic algorithm. Proposed approaches were applied on experimental fMRI data and the parameters of nonlinear Balloon model were estimated for different brain voxels. Accuracy of these characterizations was assessed via comparing the measured time series at each voxel with the modeled time series. Also, it was shown that the results of the parameter-estimation are consistent with the results obtained from system characterization via Volterra Kernels (which were reported in previous studies). It was concluded that the suggested approaches could accomplish a nonlinear system characterization through numerical methods, whereas they avoid theoretical complexities and they have acceptable speed (especially steepest descent algorithm).