A digital timing recovery system wherein the rate conversion is independent of the sampling rate, and which may be set in a network mode or a remote mode. The invention includes a transceiver core for processing transmit and receive data at a predetermined baud rate, an analog front end for transmitting and receiving analog signals over a network, a phase detector for generating a phase error estimate and a timing controller for receiving the phase error estimate signal and generating a receive and transmit phase control signal for controlling timing of the analog front end. A selector is provided for selecting a remote mode of operation or a network mode of operation. The analog front end further includes a transmit converter for converting the transmit data at the baud rate to a digital output at a transmit rate and a digital to analog converter for converting the digital output to an analog signal, and an analog to digital converter for converting the analog receive signal to a digital receive signal and a receive converter for converting the digital receive signal at a receive rate to the baud rate. The phase detector includes a channel estimator for generating a coefficient error signal and the timing controller includes a loop filter for producing a control signal for a numerically controlled oscillator that produces a baud interrupt signal and the phase control signals.