Born into an upper-middle-class in Gothenburg. In 1909 her family relocated to Stockholm, where she grew up and studied at the city's university college. Further studies followed at Uppsala University, where she graduated in 1928. Her professional activities consisted mainly of teching, since writing alone could never fully sustain her.

In 1929 she married Leif Björk but they were divorced in 1934. But Boye life partner was Margot Hanel, a German Jewess. They met in Berlin in 1932 and lived together as a couple in Stockholm. In her novel Kris she openly described lesbian love. In 1941 Boye committed suicide in Alingsås, due to circustances that are not alttogether clear. Shortly thereafter also Hanel killed herself.