The magnetostriction and dynamic characteristics of Tb0.27Dy0.73Fe2 polycrystals with < 110 > axial alignment were investigated by standard strain gauge, two coil induction and lock-in amplifier techniques. It is found that the magnetostriction of the sample quickly increases with increasing magnetic fields when H <= 80 kA/m under a pressure of 5 or 10 MPa and a "jump" effect occurs during the magnetization process. The dynamic strain coefficient, d(33), dynamic incremental permeability, mu (33), and magneto-mechanical coupling coefficient, k(33), for the Th0.3DY0.7Fe2 rod polycrystal sample with < 110 > axial alignment were measured and discussed. The Tb0.27Dy0.73Fe2 polycrystals with < 110 > axial alignment possesses excellent magnetostrictive properties along the < 110 > rod direction in low magnetic fields and it is very useful in application of industry.