Abstract: A novel phase generated carrier demodulation method for homodyne interferometers which is robust to modulation depth variations and source intensity fluctuations is provided. By digitally mixing the waveform with a multitone synthetic waveform, distortion becomes negligible even in presence of large variations of modulation depth. The method only requires two mixers and also provides the DC component of the phase in real time, without any previously recorded data or ellipse-fitting algorithms.