Abstract To improve the parameter estimation performance of damped real-value sinusoid in noise, a novel algorithm with high accuracy and computational efficiency is proposed that combines the characteristics of good anti-interference, small computation of frequency-domain methods, and high parameter estimation accuracy of time-domain methods. First, the Discrete Fourier Transform (DFT) algorithm and the two-point spectrum interpolation algorithm of the frequency-domain methods are used to improve the noise immunity. Then, the linear prediction property and the enhancement filter of the time-domain methods are used to improve the parameter estimation accuracy. In addition, the parameter estimation performance of the proposed algorithm is verified by computational complexity analysis and test experiments, and the practical application effectiveness of the proposed algorithm is demonstrated on the Coriolis Mass Flowmeter (CMF) experimental platform. The experimental results show that the proposed algorithm effectively improves the real-time performance and the parameter estimation accuracy is better than that of the existing excellent algorithms.