As long as your two year old can understand some of the words you say, they are likely developing normally. There is no need to worry about their development, but you should consult with a pediatrician if you are concerned. Girls can develop faster than boys, so do not be alarmed.
That said, toddlers can, on average, say about 50-100 words by the time they are 2. This includes words that you may not be able to completely understand, as they are also developing their speech muscles and skills. As long as you can understand about half of what they say, you have no need to worry. In addition, they should be able to string together phrases but not sentences. Phrases such as “I want” or “no fruit” should be pretty common.
By the time toddlers are almost 3 years old, they should be able to say many more words. The range is typically between 250-500 words, or about 300 on average. Other people should be able to understand a good portion of what they say, including their short sentences.
Sources:
http://www.parents.com/toddlers-preschoolers/development/language/speech-development-in-toddlers/
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