The Rockets have made a maximum offer to Bosh of four years, $88 million, according to sources.
The Rockets traded guard Jeremy Lin and a future first-round pick to the Los Angeles Lakers on Friday, a league source told ESPN's Jeff Goodman. After trading Lin, the Rockets' plan now is to complete their agreed-upon trade of Omer Asik to the New Orleans Pelicans.
Bosh, since opting out of the final two years of his deal -- worth $42 million -- with the Miami Heat, had planned to see what James decided before making his choice.
Bosh would give the Rockets a big forward with 3-point range, making him the the ideal frontcourt sidekick to pair with All-Star center Dwight Howard.
The Dallas Mavericks signed Rockets small forward Chandler Parsons for a three-year offer sheet worth in excess of $45 million Thursday but Houston plans to match the offer, sources told ESPNDallas.com's Tim MacMahon.
Houston has until 11:59 p.m. Sunday night to match the Mavs' offer to Parsons, who currently accounts for a $2.9 million hold on the Rockets' cap. The Rockets can exceed the cap to keep Parsons.
ESPN The Magazine's Chris Broussard contributed to this report.
Rockets Big Winner In LeBron Move
Michael Smith and Jemele Hill discuss the potential impact if Chris Bosh signs with the Rockets.