Houston Rockets guard Fred VanVleet will exercise his $25 million player option for the 2026-27 season, Klutch Sports CEO Rich Paul confirmed to ESPN. The decision comes after VanVleet missed the entire 2025-26 campaign due to a torn right ACL suffered during a pre-training camp workout in the Bahamas, leaving the team scrambling for backcourt stability.

VanVleet originally signed a two-year, $50 million contract last summer, positioning himself to test free agency this offseason. Instead, he and the Rockets renegotiated terms to give the franchise short-term financial flexibility while securing his future. The 32-year-old last played in 2024-25, averaging 14.1 points per game, though he elevated his play in the 2025 playoffs with 18.7 points against Golden State.

Without VanVleet's veteran presence, Houston struggled at point guard last season, employing a by-committee approach that lacked consistency. The Rockets bowed out in the first round despite adding Kevin Durant to the roster. VanVleet brings career averages of 14.9 points and 5.7 assists, plus proven playmaking ability on both ends of the floor.

This move locks up Houston's floor general for another season while providing financial clarity. VanVleet's return addresses the team's most glaring need and gives the Rockets a legitimate ball handler to pair alongside Durant in what should be a more stable offensive setup.