A method and apparatus are disclosed for channel estimation in broadband wireless communication systems by using locally prevailing SINR conditions in the RF channel bandwidth. According to one aspect, the channel estimation method adapts to the local SINR across different parts of the channel bandwidth. This leads to channel estimates that are optimized to SINR conditions prevailing in different parts of the channel bandwidth. The channel estimation method described herein may result in the reduction of channel estimation errors, which in turn may lead to improved performance of a broadband wireless communication system.