What Is the House Edge?
The house edge is the mathematical advantage a casino holds over players in any given game. It's expressed as a percentage of each bet that the casino expects to keep over a large number of rounds. For example, a house edge of 2% means that for every $100 wagered, the casino expects to keep $2 on average over time.
Understanding the house edge is one of the most important concepts for any casino player. It doesn't tell you what will happen on any single bet — you can win big or lose everything in a session — but it defines your long-term expected outcome.
House Edge vs. RTP
Return to Player (RTP) is simply the inverse of the house edge. A game with a 2% house edge has an RTP of 98%. Both concepts describe the same relationship between the player and the casino from different angles.
House Edge Comparison Across Popular Games
| Game | Bet / Variant | Approximate House Edge |
|---|---|---|
| Blackjack | Basic Strategy, favorable rules | 0.5% or less |
| Baccarat | Banker bet | ~1.06% |
| Baccarat | Player bet | ~1.24% |
| European Roulette | All bets | ~2.70% |
| French Roulette | Even-money bets (La Partage) | ~1.35% |
| American Roulette | All bets | ~5.26% |
| Sic Bo | Big/Small bets | ~2.78% |
| Sic Bo | Triple bets | ~13–16% |
| Dragon Tiger | Dragon or Tiger | ~3.73% |
| Dragon Tiger | Tie bet | ~32% |
| Baccarat | Tie bet | ~14.36% |
| Big Six Wheel | $1 segment | ~11% |
How Variance Interacts With the House Edge
The house edge alone doesn't tell the full story. Variance (also called volatility) describes how widely results can fluctuate from the expected average. A game can have a low house edge but high variance — meaning you might swing between big wins and heavy losses before the long-term math catches up.
- Low variance, low house edge: Baccarat Banker bet — small, consistent swings.
- High variance, low house edge: Single-number roulette bets — rare wins but large payouts.
- High variance, high house edge: Tie bets in baccarat or Dragon Tiger — avoid for serious play.
Which Bets Should You Avoid?
Some bets in casino games carry house edges so high they are considered "sucker bets" by experienced players:
- Tie bet in Baccarat (~14.36%) – The payout of 8:1 doesn't compensate for the risk.
- Tie bet in Dragon Tiger (~32%) – One of the worst bets on any casino floor.
- American Roulette Five-Number Bet (~7.89%) – The worst bet in roulette.
- High triple bets in Sic Bo (~13–16%) – Exotic bets with punishing edges.
The Best-Odds Games for Informed Players
If minimizing the house edge is your goal, focus on these:
- Blackjack with basic strategy – The lowest house edge of any table game when played correctly.
- Baccarat (Banker bet) – Simple, low edge, no strategy required.
- French Roulette (La Partage) – Best version of roulette for even-money bets.
- Craps (Pass/Don't Pass with odds) – Very low effective edge when laying odds.
The Bottom Line
The house edge ensures that casinos remain profitable businesses over time. As a player, you cannot eliminate it — but you can choose games and bets that minimize it. An informed player who understands the math behind casino games is always in a stronger position than one playing purely on instinct or superstition.