The Houston Rockets are continuing to explore ways to upgrade the point guard position.
While the team has been connected to several potential targets, many of those options carry significant salaries, which complicates matters given that Houston is operating just below the first-apron hard cap.
Because of those financial constraints, the Rockets are shifting their focus toward more cost-effective solutions at lead guard.
One such option drawing interest is Jose Alvarado of the New Orleans Pelicans.
Alvarado is earning $4.5 million this season and holds a $4.5 million player option for next year, making his contract far easier for Houston to absorb than many of the other guards on the market.
That manageable salary also limits long-term risk on the Rockets’ cap sheet if Alvarado decides to opt in for the 2026 season, further strengthening his appeal as a realistic trade target.
Rockets Have Interest In Jose Alvarado https://t.co/O4AFFJERIK
— RealGM (@RealGM) January 22, 2026
