DC offset cancellation and timing recovery is provided in a homodyne receiver. The homodyne receiver demodulates an RF signal to produce a baseband signal. An initial offset correction module determines an initial DC offset of the baseband signal. An initial offset correction is applied to the baseband signal to provide an initial corrected baseband signal. Wherein, a dynamic DC offset correction module determines a dynamic DC offset. A dynamic DC offset correction is applied to the initial corrected baseband signal providing a dynamic corrected baseband signal. A timing signal is acquired from the baseband signal for synchronizing the receiver to a transmitter. A method for correcting DC offset of a baseband signal in a homodyne receiver is also described.