What is House Edge in Roulette?

If you like table games as we do, you may have heard people saying the house always wins. But what does it even mean? Why does the house always win?

No matter what game you choose to play in an online casino, the odds of you winning vs the odds of the house winning is not even close to equal.

You may have heard the phrase “the house always wins”.

Statistically speaking, the house will always have an edge against the player. Casinos are not charitable organizations, they are a business and the business needs to be kept afloat! Every casino needs to profit to survive.

Every game that the casino offers will have a house edge in favor of the casinos, whether it’s slots or blackjack.

Here, I discuss roulette house edge, which is useful if you plan on playing online casino games for real money.

What is House Edge?

House edge in very simple terms is how much money the casino makes from online casino games.

Simply put the house edge is the advantage that the casino has for a particular game over players. This advantage is how the casino ensures that it will always be profitable over the long term no matter how many players win.

Though it might sound a little unfair in the beginning, the house edge in no way means that you do not stand a chance of winning. It only means that over time, taking all players into account, the casino will always make more money than what players win.

For example, it’s possible to beat blackjack’s house edge by counting cards, which is why some casinos consider this cheating, players who are found card counting may end up being banned.

You can even see it as a small price to pay for entertainment. There is always the chance to win big after all. The house edge is different for every game, but for online roulette it is usually around 2.7%. This means that you will only lose $2.70 for every $100 you spend on the game. In the grand scheme of things, that’s not too much!

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What is House Edge in Roulette?

House edge in online roulette real money is different for every version.

While American roulette has the highest house edge with 5.26% while French roulette offers the lowest house edge with 1.35%. In the middle, we have European roulette with a house edge of 2.70%.

What makes this difference huge, along with the different rules, is the zero pocket. In American roulette, the roulette wheel has two zero pockets. The roulette table has 36 different pockets, plus the zero pocket. You can bet on any of the 37 pockets but the odds will stay at 35 to 1. Adding a double zero pocket in American roulette makes these roulette odds even worse since the odds are still 35 to 1 with the addition of an extra double zero pocket.

The lower house edge in the European version of roulette is due to it only having a single zero block on the roulette wheel, whereas the American version has two zero blocks on the roulette wheel.

If you were to bet on the ball landing on black you would think there is a 50% chance of you being right, as there are 18 red squares and 18 black squares — however, since there is a green zero square the actual odds are 18/37, or rather 48.7%. You can then see how the addition of two zero blocks would affect the casino’s house edge in the American version.

Apart from the differences in roulette tables, rules, and different percentages of house edges, a lower house edge does not mean you will win on every bet you make.

Knowing the house edge will allow you to make better decisions while betting and help you minimize your losses. This is why we think it is a good point to start learning how to play roulette, house edges, and what they mean for players while playing casino games online.

Calculating House Edge in Roulette

American Roulette

American Roulette is perhaps the worst type of roulette for the player. American roulette only has a slight difference compared to European roulette, but the difference affects the house edge quite a bit.

As we mentioned before, the American roulette table has a 0 pocket and a 00 pocket in addition to 36 numbers. Even though the roulette wheel is slightly different, the rules are the same as in European roulette.

In American roulette, players wager as if there are 36 numbers on the roulette wheel. This means you will be playing against 38 numbers while you can only get paid for 36 numbers. Which ultimately means players will get paid 5.26% less than they should.

European Roulette

people playing roulette

People enjoy a game of roulette.

European roulette is more friendly for the player. The roulette wheel consists of numbers from 1-36 with the addition of a single 0 pocket. The addition of a single zero pocket benefits the player more than the American version.

Yes, you will still be playing against 37 numbers while getting paid for 36, but that single-pocket difference lowers the house edge to 2.70%. If you are only playing a couple of rounds, this difference won’t matter too much. However, if you are planning on playing for a good while, the difference in house edge between American and European roulette will greatly benefit you in the long run.

Why do Casinos Offer American Roulette?

In hindsight, it doesn’t make sense that online casinos offer American roulette in the first place. Everybody knows it has the worse odds in all variations of roulette, doesn’t matter what roulette strategy you use. So why do casinos have American roulette as an option? The short answer is not everyone is knowledgeable when it comes to online gambling like you and me! Not many players are familiar with the differences in house edge or simply don’t care! So, it makes sense that casinos take advantage of this and offer American roulette.

Is Roulette House Edge Such a Big Deal?

For the average player, no it is not really a big deal. So why not head on to one of our recommended casinos to try out live dealer roulette today? You can just play the game and have fun! We all accept the house always wins, and to an extent that is indeed true! For casinos, on the other hand, the house edge is kind of a big deal. In the end, that’s how they profit. In conclusion, roulette is a game of luck, despite what those pesky mathematicians may tell you! Math is only good when it comes to bankroll management and that is very important. In a game of luck, there is no knowing what the next spin may bring.

Dave Consolazio

Dave Consolazio has been passionate about writing and sports journalism since his high school years. He has a degree in Broadcast Journalism from USC where he worked with the school's radio and television stations. His work has been featured in SportsbookReview, Sports Illustrated and SB Nation. Dave's experience ranges across multiple fields in the gambling industry. You can find his sports, casino, and poker articles in GambleOnline.co.

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