Trae Young, Wizards Reportedly Agree to New Contract After Opt-Out, Updated NBA Salary Cap

After testing free agency for the first time, star point guard Trae Young ultimately decided to remain in the nation's capital.

According to ESPN's Shams Charania, Young re-signed with the Washington Wizards on a four-year, $212 million contract on Monday.

The deal reportedly includes a player option for the fourth season.

The 27-year-old hit the open market after he declined his $48.9 million player option for the 2026-27 campaign, but the Wizards convinced him to stay put.

After spending the first seven-plus seasons of his career with the Atlanta Hawks, Young was sent to Washington in January. He had dealt with a knee injury for most of the year and appeared in only five games for his new team. In 15 combined games for the Wizards and Hawks, he averaged 17.9 points and 8.0 rebounds.

In addition to trading for Young, the Wizards also acquired star big man Anthony Davis from the Dallas Mavericks last season. Adding the All-Star duo to a young core that includes Alex Sarr, Kyshawn George, Tre Johnson, Will Riley, Bub Carrington and whoever the team takes with the 2026 No. 1 pick creates optimism that Washington is nearing the end of its perpetual rebuild.

Retaining Young is a strong sign that the Wizards are looking to make some noise next season and fight for a playoff spot in the competitive Eastern Conference.