A fiber Bragg grating temperature sensor based on the cavity ring-down technique is reported. A quasi-linear fiber cavity is proposed to reduce optical loss in the cavity instead of a conventional fiber-loop configuration. The heterodyne detection technique is applied to sensitively detect weak pulses from the cavity. A combination of the quasi-linear fiber cavity and heterodyne detection allows the sensitive detection of the decaying pulse trains and high-resolution measurement of the wavelength shift of the Bragg grating induced by the temperature change. A temperature resolution of about 0.01°C is achieved.