When the 2016–17 season started, Harden was off to a great start and was widely considered a top MVP runner along with Kawhi Leonard, alongside former teammate Russell Westbrook. To gain more firepower from the bench, Morey traded Corey Brewer and the 2017 first-round pick to the Los Angeles Lakers for Lou Williams to enhance the team's offense. When the season ended, the Rockets were third in both the Western Conference and overall rankings, a major improvement from the season before. D'Antoni was named the NBA Coach of the Year, Eric Gordon the Sixth Man of the Year, and Harden finished second in MVP voting to Russell Westbrook. In the playoffs, the Rockets faced the sixth seeded Oklahoma City Thunder in a battle of the MVP frontrunners, as the winner was not announced until after the finals. The Rockets won the series 4–1 including Nene Hilario's perfect 12–12 in field goals in Game 4. In the following round, Houston opened with a dominating 27 points win over the San Antonio Spurs, lost the following two games and then tied the series again. The fifth game went into overtime and had both Manu Ginobili blocking James Harden's game tying three point attempt at the final second, and Nene injuring himself out of the postseason. Without Nene, the Rockets could not guard LaMarcus Aldridge, who scored 34 points and grabbed 12 rebounds in the series-closing match. thumb|Chris Paul (Shown in 2022) arrived in Houston in 2017 During the 2017 off-season, the Rockets were purchased by Houston restaurant billionaire Tilman Fertitta for $2.2 billion, breaking the record for the price to purchase an American professional sports team. The team also acquired 8-time All-NBA player and 9-time All-Star Chris Paul in a trade from the Los Angeles Clippers, in exchange for seven players, cash considerations, and a top three protected 2018 first round draft pick. Even if Paul missed many games due to a knee injury, he was a key addition to the Rockets. The team finished the season with 65 wins, a record both league-leading and the best in franchise history. During the playoffs, Houston beat the Minnesota Timberwolves and Utah Jazz in five games before another confrontation with the Golden State Warriors. In Game 5 of the Conference Finals, the Rockets took a 3–2 lead in the series, but they saw Paul leave with an injured hamstring. His absence was felt in the two remaining games, where Houston led by halftime in Game 7 only to suffer a comeback by Golden State.
When the 2016–17 season started, Harden was off to a great start and was widely considered a top MVP runner along with Kawhi Leonard, alongside former teammate Russell Westbrook. To gain more firepower from the bench, Morey traded Corey Brewer and the 2017 first-round pick to the Los Angeles Lakers for Lou Williams to enhance the team's offense. When the season ended, the Rockets were third in both the Western Conference and overall rankings, a major improvement from the season before. D'Antoni was named the NBA Coach of the Year, Eric Gordon the Sixth Man of the Year, and Harden finished second in MVP voting to Russell Westbrook. In the playoffs, the Rockets faced the sixth seeded Oklahoma City Thunder in a battle of the MVP frontrunners, as the winner was not announced until after the finals. The Rockets won the series 4–1 including Nene Hilario's perfect 12–12 in field goals in Game 4. In the following round, Houston opened with a dominating 27 points win over the San Antonio Spurs lost the following two games and then tied the series again. The fifth game went into overtime and had both Manu Ginobil,i blocking James Harden's game tying three point attempt at the final second, and Nene injuring himself out of the postseason. Without Nene, the Rockets could not guard LaMarcus Aldridge, who scored 34 points and grabbed 12 rebounds in the series-closing match. thumb|Chris Paul (Shown in 2022) arrived in Houston in 2017 During the 2017 off-season, the Rockets were purchased by Houston restaurant billionaire Tilman Fertitta for $2.2 billion, breaking the record for the price to purchase an American professional sports team. The team also acquired 8-time All-NBA player and 9-time All-Star Chris Paul in a trade from the Los Angeles Clippers, in exchange for seven players, cash considerations, and a top three protected 2018 first round draft pick. Even if Paul missed many games due to a knee injury, he was a key addition to the Rockets. The team finished the season with 65 wins, a record both league-leading and the best in franchise history. During the playoffs, Houston beat the Minnesota Timberwolves and Utah Jazz in five games before another confrontation with the Golden State Warriors. In Game 5 of the Conference Finals, the Rockets took a 3–2 lead in the series, but they saw Paul leave with an injured hamstring. His absence was felt in the two remaining games, where Houston led by halftime in Game 7 only to suffer a comeback by Golden State.