The two sides were working hard to get a deal done by Week 1 and have agreed to terms on a deal that makes Watson the highest-paid quarterback in the NFL not named Patrick Mahomes.
While the $39 million per year is a sizable difference from Mahomes’ average, Watson got the shorter deal he wanted without signing away his rights for 10 years like Mahomes.
Adam Schefter reports Watson’s deal can be worth up to $177.54 million with almost $111 million of that figure guaranteed.
Watson, 24, was taken in the first round of the 2017 NFL draft by the Texans. He signed a four-year, $13.854 million with the Texans and will make a base salary of $1.17 million for the 2020 season.
Houston picked up Watson’s fifth-year option earlier this offseason worth around $17.3 million for the 2021 season.
In 2019, Watson appeared in 15 games for the Texans and completed 67.3 percent of his passes for 3,852 yards with 26 touchdowns and 12 interceptions. He also rushed for 413 yards and seven touchdowns.