Correction of the fractional cycle bias (FCB) in the undifferenced ambiguity allows precise point positioning (PPP) integer ambiguity resolution (IAR) to be achieved, which can improve positioning accuracy significantly. In addition, in real-time PPP-IAR, integration of the BeiDou Navigation Satellite System (BDS) can provide a significant reduction in the initial fixing time of global positioning system (GPS)-only PPP-IAR. However, the FCB quality can be considerably affected by the low precision of the BDS orbit, which then severely hampers the GPS + BDS PPP-IAR performance. Therefore, a real-time FCB estimation strategy that takes the BDS satellite orbit error into consideration was developed in this study. The slant orbit error can be absorbed by the ionosphere-free (IF) ambiguity, which can then be recovered by fixing all IF ambiguities from all the tracking stations. The estimated orbit error is then used to refine the orbit, which is broadcast along with the FCBs to enable PPP ambiguity resolution. To evaluate the proposed strategy, an experiment using 60 tracking stations covering the China region is performed in a simulated real-time mode. The a posteriori residuals of both the wide- and narrow-lane ambiguities are checked to validate the efficiency of the proposed FCB strategy. The results show that when the proposed strategy is applied, the effect of the BDS orbit error on narrow-lane FCB estimation is eliminated and more than 94% of the narrow-lane residuals are within 0.1 cycles for both the GPS and the BDS. The fixing percentage within 20 min is 46.3% for the GPS-only solution but is only 4.8% when using GPS + BDS with the traditional method. However, when the proposed strategy is used, the fixing percentage for GPS + BDS improves significantly to 91.7%.