The invention discloses a baseband receiving method and a baseband device applied to a terminal in a narrow-band wireless system, and relates to wireless communication technology. The baseband receiving method includes the steps: calculating LS (least squares) estimation values of an NRS (numeric rating scale) pilot frequency position, averaging LS results of the same subcarrier position in a subframe, and encrypting LS results of different carrier positions to obtain a list of results; calculating frequency domain correlation values, and distinguishing different gears of the correlation values. The list of encrypted LS results are filtered according to the distinguished gears, filter results serve as channel estimation values of all OFDM (orthogonal frequency division multiplexing) symbols on the subframe, noise power values are estimated according to the encrypted LS results, and finally, received signals are subjected to MIMO (multiple input multiple output) detection and demodulation according to the channel estimation values and the noise power estimation values. Compared with the prior art, the baseband receiving method has the advantages that the calculating amount of the baseband receiving process can be greatly reduced, the method is suitable for the narrow-band wireless system with low signal-to-noise ratio and low movability, and good receiving performance is achieved.