Ferroelectrics have become indispensable components in various application fields, including information processing, energy harvesting, and electromechanical conversion, owing to their unique ability to exhibit electrically or mechanically switchable polarization. The distinct polar noncentrosymmetric lattices of ferroelectrics make them highly responsive to specific crystal structures. Even slight changes in the lattice can alter the polarization configuration and response to external fields. In this regard, strain engineering has emerged as a prevalent regulation approach that not only offers a versatile platform for structural and performance optimization within ferroelectrics but also unlocks boundless potential in various functional materials. In this review, we systematically summarize the breakthroughs in ferroelectric-based functional materials achieved through strain engineering and progress in method development. We cover research activities ranging from fundamental attributes to wide-ranging applications and novel functionalities ranging from electromechanical transformation in sensors and actuators to tunable dielectric materials and information technologies, such as transistors and nonvolatile memories. Building upon these achievements, we also explore the endeavors to uncover the unprecedented properties through strain engineering in related chemical functionalities, such as ferromagnetism, multiferroicity, and photoelectricity. Finally, through discussions on the prospects and challenges associated with strain engineering in the materials, this review aims to stimulate the development of new methods for strain regulation and performance boosting in functional materials, transcending the boundaries of ferroelectrics.