Sports betting odds tell you two things: how likely an event is to happen and how much you’ll win if you bet on it. For new bettors, understanding odds is the first step to making smart wagers. Here’s what you need to know.
In simple words: Odds represent the probability of an outcome (like a team winning) and determine your payout. They’re set by bookmakers based on stats, team form, and betting trends. Lower odds mean a higher chance of winning but a smaller payout. Higher odds mean a lower chance but a bigger payout.
Types of Odds
Odds come in three formats. You’ll see American odds most often in the U.S., but knowing all three helps.
American Odds
- Shown with a “+” or “−” sign (e.g., +150 or −200).
- Negative (−): The favorite. Shows how much you need to bet to win $100. Example: −200 means bet $200 to win $100 (total payout: $300).
- Positive (+): The underdog. Shows how much you win on a $100 bet. Example: +150 means bet $100 to win $150 (total payout: $250).
Decimal Odds
- Common in Europe (e.g., 2.50).
- Multiply your bet by the number to get your total payout. Example: $10 at 2.50 odds = $25 (includes your $10 stake).
Fractional Odds
- Used in the UK (e.g., 5/2).
- Shows profit relative to your bet. Example: Bet $2 at 5/2 odds, win $5 profit (total payout: $7).
How to Read Odds?
Favorites vs. Underdogs: Favorites have lower odds (e.g., −150) because they’re expected to win. Underdogs have higher odds (e.g., +200) because they’re less likely to win.
Payout Calculation: For American odds, divide the odds by 100 and multiply by your bet. Example: $50 at +200 = $100 profit (total: $150). For −150, bet $150 to win $100 (total: $250).
Key Betting Terms
- Moneyline: Bet on who wins. Example: −120 means bet $120 to win $100 if that team wins.
- Spread: Bet on the margin of victory. Example: −6.5 means the favorite must win by 7+ points.
- Over/Under: Bet on total points scored by both teams. Example: Over 45.5 means you win if the score exceeds 45.5.
- Vig/Juice: The bookmaker’s fee, built into the odds (e.g., −110 means you bet $110 to win $100).
Tips for New Bettors
- Start Small: Use a budget you can afford to lose.
- Shop Odds: Compare odds across bookmakers for better value.
- Understand Probability: Convert odds to percentages. For −200, it’s 66.7% chance (200 ÷ (200 + 100)). For +150, it’s 40% (100 ÷ (150 + 100)).
- Avoid Chasing Losses: Stick to your plan, not emotions.
