Why Parlays Are a Sucker’s Bet (And How the Sportsbooks Win Big Off Them)

The Allure of the Parlay

If you’ve ever scrolled through a sportsbook or watched a betting show, you’ve probably seen it: a $10 parlay turning into a $10,000 payday. The dream of hitting a massive multi-leg bet is intoxicating. It’s the lottery ticket of sports betting — high risk, high reward, and incredibly unlikely to win.

Sportsbooks know this, and that’s exactly why they push parlays so hard. The house edge on these bets is enormous, and the vast majority of bettors walk away empty-handed.

What Is a Parlay?

A parlay combines multiple individual bets (called “legs”) into a single wager. For the parlay to win, every leg must hit. Even if you’re perfect on four out of five picks, one miss kills the entire ticket.

For example, a 5-leg parlay of -110 bets pays around 24-to-1. That looks tempting — but the true odds of hitting five straight -110 bets are closer to 31-to-1. That’s a 20% profit margin for the sportsbook before you even place the bet.

The Math Behind the “Sucker” Label

Let’s break it down simply:

• Hitting one -110 bet = ~52.4% chance of winning

• Hitting two in a row = (0.524 × 0.524) = 27.5%

• Hitting five in a row = (0.524⁵) ≈ 3.9% chance

That means your odds of hitting a 5-leg parlay are less than 1 in 25, but you’re only getting paid 24-to-1. Over time, that small gap in payout vs. true probability adds up to one of the highest house edges in all of sports betting.

Why Sportsbooks Love Parlays

Sportsbooks need parlay bettors. Parlays boost their hold percentage — the percentage of total money wagered that they keep as profit.

• The average hold on single bets is around 5%.

• On parlays? It can exceed 25%.

That’s why you’ll see sportsbooks heavily advertise parlay boosts, “same-game parlays,” and “quick picks.” It’s not because they want you to win — it’s because parlays are their biggest moneymaker.

The Psychology Behind Parlays

Parlays appeal to two powerful emotions: greed and hope.

• Greed makes bettors dream of big paydays.

• Hope makes them ignore the math.

Hitting a parlay feels amazing — but that rush reinforces risky behavior. It’s the same psychological hook that keeps slot machines profitable in casinos.

When (If Ever) a Parlay Makes Sense

There are rare cases where parlays can be strategic:

• When you find correlated outcomes (e.g., QB over passing yards + team to win).

• When you use free bets or promos that eliminate risk.

But for standard, real-money bets? You’re far better off betting singles and compounding your profits slowly.

The Bottom Line

Parlays are marketed as “fun” and “high reward,” but in reality, they’re one of the most efficient ways for sportsbooks to separate you from your money.

If your goal is entertainment, go ahead — throw a small parlay for fun. But if you’re trying to win long-term, remember this golden rule:

👉 Serious bettors play singles. The sportsbooks play parlays.