Multiple input multiple output-orthogonal frequency division multiplexing (MIMO-OFDM) is an emerging multiplexing technique used in modern mobile communication systems. A main challenge to MIMO-OFDM is retrieval of the channel state information (CSI) accurately and synchronisation between the transmitter and receiver. The CSI is retrieved with the help of channel estimation algorithms such as training-based, blind and semi-blind channel estimation by various researchers. The mean square error (MSE) of existing training-based least square (LS) and minimum mean square error (MMSE) estimation are usually high. In order to minimise MSE, discrete Fourier transform (DFT)-based channel estimation is proposed. This paper deals with MIMO-OFDM system and simulation of training-based LS and MMSE channel estimation, performance evaluation of DFT-based channel estimation. The simulation results clearly indicate the drastic minimisation of MSE by the implementation of DFT channel estimation with LS and MMSE estimation.