An improved optical pulse heterodyne demodulation scheme for fiber-optic interferometric sensors is demonstrated. This scheme uses two series-connected Acoustic-optic modulators (AOMs) as intensity modulator and frequency shifter respectively. Compared to the traditional optical heterodyne demodulation structure, this scheme eliminates the polarization-induced signal fading and the noise floor is lowered for using the Michelson-configuration delay structure and Faraday rotation mirrors (FRMs) in the optic architecture of system. At the same time, the architecture of this scheme is not complicated and can be used to complex a large sensor array. Experimental results show that the phase noise floor of this demodulation scheme is flat and reaches -99dB/sqrt(Hz) at frequencies above 300 Hz.