This paper proposes a novel scheme for sequential orthogonal frequency division multiplexing channel estimation on the receiver side.The scheme comprises two methods: one improves estimation accuracy and the other reduces computational complexity. Based on a state-space model, the first method appropriately considers frequency correlation in an approach that derives a narrow-band channel gain for multiple pilot subcarriers; such consideration of frequency correlation leads to an averaging effect in the frequency domain. The second method is based on the first one and forces the observation matrix into a sparse bidiagonal matrix in order to decrease the number of mathematical processes. The proposed scheme is verified by numerical analysis.