It's not often that a No. 7 seed is favored over a No. 2 seed in the first round of the playoffs. That's what happened though when the Rockets faced the Warriors. Vegas proved yet again that it's usually right.
There were a lot of reasons for the Rockets' early exit. Jalen Green disappeared all but one of the 7 games. Alperen Sengun looked like he might be the best player on the team towards the end of the season, but he wasn't nearly as effective against the Warriors. And Fred VanVleet couldn't continue his heroics forever.
All of that points to the same issue that we've always known about this roster. While it is has a lot of depth and talent, there isn't the guy that stirs the drink for an offense that ranked 12th during the regular season and 23rd in effective field goal percentage.
Follow The Sporting News on WhatsApp
It's not all bad news for the Rockets. They are still way ahead of schedule, and they have a ton of assets at their disposal to get better quickly.
While most contenders get good by maxing out their free agency dollars and draft picks, the Rockets weren't even in the luxury tax this year and don't project to be next year either. That keeps them out of those pesky apron rules that make trades so difficult to pull off.
Houston also has the enviable combination of both draft picks and young prospects at their disposal. They control of all of their future first-rounders and also have a juicy 2027 first-round pick from the Suns, who will probably be pretty bad when that conveys.
That puts them in the running for pretty much any player in the league that becomes available. They have a winning team, no state income tax, great weather, and some of the best kolaches in the country. What's not to love?
Here are the players that could make the Rockets an instant contender next year.
MORE: Who the Lakers could target to complement Luka
Kevin Durant Rockets trade

Everyone knows Kevin Durant is Phoenix leaving this summer. There's already a ton of smoke that he will land in Houston, with ESPN's Shams Charania reporting that they have a "level of mutual interest" in working together.
Even at the age of 36, Durant is still a top 15 player. He would have made one of the All-NBA teams had he not narrowly missed the 65-game requirement. The Rockets need a guy who can create offense late in the shot clock, and there still might not be a player better at that than him.
Durant is going to be an elite shot maker until the day he retires. He can shoot it over anyone, and he canned 43 percent of his 3's last year while scoring 26.6 points per game. He's not the defender that he once was, but he can provide some weak side rim protection and rebounding.
Alperen Sengun established himself as the Rockets' best player. He or Amen Thompson would be the piece that the Suns would want back. Phoenix owes so many of its picks that tanking isn't really an option for them. They need young guys who can contribute and keep the team halfway decent in order to prevent Devin Booker from asking out too.
Houston might be able to get Durant without having to give either of those guys up. The market for Durant may not be as robust as it seems given that he makes $54.7 million and might seek an even bigger deal when he enters free agency in the summer of 2026.
The Rockets might be able to land Durant by including a package of Green, Reed Sheppard, Cam Whitmore, and picks. Add two first-round picks, and that could get a deal done.
MORE: Updated NBA Playoffs schedule
Giannis Antetokounmpo Rockets trade

It's going to take a lot more to get Giannis Antetokoumnpo than it would Durant, for obvious reasons. Giannis is a much better player, he's six years younger, he's a better defender, and he's under contract for at least one more year.
MORE: Breaking down Giannis Antetokounmpo trade destinations
The Bucks haven't started shopping Giannis yet, but it's only a matter of time. Damian Lillard's Achilles injury drops their chances of contending next year down to zero. If the star asks out, then the Rockets should be ready to pounce.
The fit between Giannis and Sengun would be tricky. Neither of them is a good 3-point shooter, and the spacing on the floor wouldn't be ideal. Thompson is the worst shooter out of all three. One of Thompson or Sengun would have to go out in this trade.
If the Rockets did send out Sengun, then the Rockets would form one of the nastiest defenses in the league. They were already ranked No. 5 in the regular season. They would be a top two defense with Giannis, who isn't the DPOY caliber player that he was several years ago but is still a top 20 defender in the league.
Sending out Thompson would be harder. Sengun occupies the same spaces that Giannis likes to work in. Sengun is a brilliant passer though, and Giannis is also underrated in that area. Giannis could also provide cover for Sengun, who is a decent rim protector but doesn't move his feet well.
A package around Thompson/Sengun, Sheppard, and Whitmore would be a reasonable starting point to work from. The Rockets could also throw in three of their five tradeable first-rounders. That might sound like a lot, but other teams are going to put forth their best offer once the Giannis floodgates open. He is very easily still good enough to be the best player on a championship team.
Fred VanVleet's new contract
The last point of order for the Rockets is what to do with Fred VanVleet, who has a team option for a whopping $44.9 million. As good as VanVleet has been, he'd be making $6 million more than Cade Cunningham under that figure.
The Rockets will probably decline that option and try to bring VanVleet back on a cheaper deal. Somewhere in the neighborhood of $25 million annually sounds right for the 31-year-old veteran. That would put him in the same range of other guards like Immanuel Quickley, Jrue Holiday, Jordan Poole, Tyler Herro, and CJ McCollum. They could also exercise his option and use him for matching salary if needed.
VanVleet has been a terrific leader for the Rockets, instilling toughness into their culture. The gritty guard finds ways to be a positive defensive contributor at just 6 feet tall and routinely bailed their offense with tough shot making. Houston should make it a priority to bring him back, along with fellow free agent Steven Adams.