A hearing system comprising a) a multitude M of microphones, M≥2, adapted for picking up sound from the environment and to provide corresponding electric input signals rm(n), m=1, . . . , M, n representing time, rm(n) comprising a mixture of a target sound signal propagated via an acoustic propagation channel and possible additive noise signals vm(n); b) a transceiver configured to receive a wirelessly transmitted version of the target sound signal and providing an essentially noise-free target signal s(n); c) a signal processor configured to estimate a direction-of-arrival of the target sound signal relative to the user based on c1) a signal model for a received sound signal rm at microphone m through the acoustic propagation channel, wherein the mth acoustic propagation channel subjects the essentially noise-free target signal s(n) to an attenuation αm and a delay Dm; c2) a maximum likelihood methodology; and c3) relative transfer functions dm representing direction-dependent filtering effects of the head and torso of the user in the form of direction-dependent acoustic transfer functions from each of M−1 of said M microphones (m=1, . . . , M, m≠j) to a reference microphone (m=j) among said M microphones, wherein it is assumed that the attenuation αm is frequency independent whereas the delay Dm may be frequency dependent. The application further relates to a method. Embodiments of the disclosure may e.g. be useful in applications such as binaural hearing systems, e.g. binaural hearing aids systems.