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What is handicap betting?
Handicap betting is where the bookmaker applies a points or goal margin (handicap) to the favoured team or player in a contest in order to create more level odds for each outcome.
Handicap betting is used prevalently in the UK and European football betting.
It is becoming more common in Australia, as bookmakers apply handicaps adapted to Australian online betting markets on sports like AFL and NRL.
Handicap betting example: How does it work?
To better explain handicap betting, we use the example of an English Premier League soccer match.
Let's assume, Arsenal is playing West Ham, the Win Draw Win odds for the match are:
Arsenal $1.
36, the Draw $4.
50 and West Ham $6.
50.
The odds suggest an Arsenal victory is the most likely outcome.
If the bookie then handicaps Arsenal 1 goal, the market would look like this:
Arsenal $2.
20 (-1.
0), Draw $3.
30 (-1.
0), West Ham $2.
80 (+1.
0).
In this scenario, punters that backed Arsenal need them to win by 2 goals in order to receive the $2.
20.
The list below shows what score is needed for each outcome to be declared a winner under -1.
0 handicap conditions:
Arsenal (-1.
0) win – Arsenal win by 2 goals or more
– Arsenal win by 2 goals or more Draw (-1.
0) win – Arsenal wins by exactly 1 goal
– Arsenal wins by exactly 1 goal West Ham (+1.
0) win – The match results in a draw or a West Ham victory
By applying a one goal handicap, the oddsmaker has made the match far more even.
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