ESPN is reporting that Durant will not exercise his $28 million option for next year.
RELATED: Kevin Durant, his mother and the Warriors praised after winning NBA title
The good news is that Durant will likely re-sign with the team, and won't seek the maximum deal for which he would be eligible.
That would potentially free up salary cap space to sign other players, including Andre Iguadala.
"Free agency is predictably unpredictable. I love Andre and hopefully we can find a way to make it work for not just him but all of our guys," Warriors General Manager Bob Myers said.
Along with Durant and Iguadala, the warriors also need to re-sign Stephen Curry.
The Dubs have only five players under contract for next year Klay Thompson and Draymond Green are among them.
Click here for more stories about the Golden State Warriors.
PHOTOS: 2017 Golden State Warriors victory parade and rally
The Golden State Warriors celebrate the NBA Championship during the parade and rally in Oakland, Calif. on June 15, 2017.none
The Golden State Warriors celebrate the NBA Championship during the parade and rally in Oakland, Calif. on June 15, 2017.none
The Golden State Warriors celebrate the NBA Championship during the parade and rally in Oakland, Calif. on June 15, 2017.none
The Golden State Warriors celebrate the NBA Championship during the parade and rally in Oakland, Calif. on June 15, 2017.none
The Golden State Warriors celebrate the NBA Championship during the parade and rally in Oakland, Calif. on June 15, 2017.none
Kevin Durant celebrates the Golden State Warriors NBA Championship during the parade and rally in Oakland, Calif. on June 15, 2017.none
Klay Thompson smiles at their NBA championship rally in Oakland, Calif. on Thursday, June 15, 2017.none
Warriors coach Steve Kerr is seen speaking at their NBA championship rally in Oakland, Calif. on Thursday, June 15, 2017.none
Kevin Durant smiles at their NBA championship rally in Oakland, Calif. on Thursday, June 15, 2017.none
The Warriors are seen sitting before Dub Nation at their NBA championship rally in Oakland, Calif. on Thursday, June 15, 2017.none
A large crowd is seen at the Warriors rally in Oakland, Calif. on Thursday, June 15, 2017.none
A large crowd is seen at the Warriors parade in Oakland, Calif. on Thursday, June 15, 2017.none
Golden State Warriors forward celebrates at the Dubs victory parade, Thursday, June 15, 2017, Oakland, Calif.none
Dub Nation is seen cheering at the Warriors parade in Oakland, Calif. on Thursday, June 15, 2017.none
Dub Nation represents at the Warriors parade in Oakland, Calif. on Thursday, June 15, 2017.none
A crowd cheers at the Warriors parade in Oakland, Calif. on Thursday, June 15, 2017.none
Klay Thompson is seen at the Warriors parade in Oakland, Calif. on Thursday, June 15, 2017.none
Stephen Curry and his family is seen with the trophy at the Warriors parade in Oakland, Calif. on Thursday, June 15, 2017.none
A bus is seen at the Warriors parade in Oakland, Calif. on Thursday, June 15, 2017.none
Golden State Warriors owners Joe Lacob and Peter Guber talk at the Dubs victory parade in Oakland, California, Thursday, June 15, 2017.none
Dub Nation is seen cheering at the Warriors parade in Oakland, Calif. on Thursday, June 15, 2017.none
A line of cars are seen making at the Warriors parade in Oakland, Calif. on Thursday, June 15, 2017.none
Drummers are seen making at the Warriors parade in Oakland, Calif. on Thursday, June 15, 2017.none
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PHOTOS: Behind-the-scenes of the 2017 NBA Finals
ABC7 News' Cornell Barnard is seen at the Warriors parade in Oakland, Calif. on Thursday, June 15, 2017.none
ABC7News' Mike Shumann speaks to Adonal Foyle at the Warriors parade in Oakland, Calif. on Thursday, June 15, 2017.none
ABC7 News Eric Thomas is seen at the Warriors parade in Oakland, Calif. on Thursday, June 15, 2017.none
ABC7 News' Wayne Freedman is seen at the Warriors parade in Oakland, Calif. on Thursday, June 15, 2017.none
ABC7 News' Carolyn Tyler shows off her Dubs pride at the Warriors parade in Oakland, Calif. on Thursday, June 15, 2017.none
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PHOTOS: Celebrities at the 2017 NBA Finals
Mike Shumann interviews Chris Rock after Game 5 of the 2017 NBA Finals in Oakland, Calif. on Monday, June 12, 2017.none
Musicians Snoop Dogg, left, and E-40 pose for photos before Game 5 of the NBA Finals in Oakland, Calif., Monday, June 12, 2017.none
Snoop Dogg poses for photos before Game 5 of basketball's NBA Finals between the Golden State Warriors and the Cleveland Cavaliers in Oakland, Calif., Monday, June 12, 2017.none
Musician Sean "Diddy" Combs watches as players warm up before Game 5 of the NBA Finals in Oakland, Calif., Monday, June 12, 2017.none
Comedian Chris Rock, right, smiles next to Megalyn Echikunwoke before Game 5 of the NBA Finals in Oakland, Calif., Monday, June 12, 2017.none
Vince Carter, left, talks with musician Sean "Diddy" Combs, center, before Game 5 of the NBA Finals in Oakland, Calif., Monday, June 12, 2017.none
Green Bay Packers quarterback Aaron Rodgers, left, laughs with Michael Wilbon before Game 5 of the NBA Finals in Oakland, Calif., Monday, June 12, 2017.none
Minnesota Timberwolves' Zach LaVine, left, and Hunter Mar watch as players warm up before Game 5 of the NBA Finals in Oakland, Calif., Monday, June 12, 2017.none
Snoop Dogg is seen inside Oracle Arena in Oakland, Calif. ahead of Game 5 of the NBA Finals on Monday, June 12, 2017.none
Sean "Diddy" Combs is seen inside Oracle Arena in Oakland, Calif. ahead of Game 5 of the NBA Finals on Monday, June 12, 2017.none
E-40 is seen inside Oracle Arena in Oakland, Calif. ahead of Game 5 of the NBA Finals on Monday, June 12, 2017.none
Jordin Sparks sings the national anthem before Game 4 of basketball's NBA Finals between the Cavaliers and Golden State Warriors in Cleveland, Friday, June 9, 2017.none
New York Giants wide receiver Odell Beckham, Jr. watches the Cleveland Cavaliers and Golden State Warriors in the first half of Game 4 of basketball's NBA Finals on June 9, 2017.none
Train's Pat Monahan warms up for the National Anthem at Oracle Arena in Oakland, Calif. on Thursday, June 1, 2017.none
Usher greets the Reverand Jesse Jackson at Quicken Loans Arena during game three of the NBA Finals in Cleveland, Ohio on June 7, 2017.none
Scottie Pippen watches warmups before basketball's NBA Finals Game 3 between the Cleveland Cavaliers and Golden State Warriors in Cleveland, Wednesday, June 7, 2017.none
Rascal Flatts performs the national anthem before Game 3 of the NBA Finals between the Cleveland Cavaliers and the Golden State Warriors in Cleveland, Wednesday, June 7, 2017.none
Singer Rihanna, right, watches as Warriors' Kevin Durant, left, runs past during the second half in Game 1 of the NBA Finals against the Cavs in Oakland, Calif. on June 1, 2017.none
Singer Rihanna, second from left, watches Game 1 of the NBA Finals between the Golden State Warriors and the Cleveland Cavaliers Thursday, June 1, 2017, in Oakland, Calif.none
Rapper Jay-Z, center, watches Game 1 of basketball's NBA Finals between the Golden State Warriors and the Cleveland Cavaliers Thursday, June 1, 2017, in Oakland, Calif.none
Guy Fieri told ABC7 News, "I know the Warriors are going to win," at game 2 of the NBA Finals in Oakland, Calif. on Sunday, June 4, 2017.none
Carlos Santana performs the national anthem before Game 2 of the NBA Finals between the Golden State Warriors and the Cleveland Cavaliers in Oakland, Calif., on June 4, 2017.none
Carlos Santana performs the national anthem before Game 2 of the NBA Finals between the Golden State Warriors and the Cleveland Cavaliers in Oakland, Calif., on June 4, 2017.none
Mike Shumann interviews Carlos Santana before game 2 of the NBA Finals in Oakland, Calif. on Sunday, June 4, 2017.none
Carlos Santana practices the "National Anthem" before game 2 of the NBA Finals in Oakland, Calif. on Sunday, June 6, 2017.none
Rapper 2 Chainz watches game 2 of the 2017 NBA Finals in Oakland, Calif. on Sunday, June 4, 2017.none
Barcelona soccer player Neymar watches as players warm up before Game 2 of basketball's NBA Finals between the Warriors and the Cavaliers in Oakland, Calif., on June 4, 2017.none
Former Warriors head coach Al Attles, left, accepts the NBA Coaches Association's Chuck Daly Lifetime Achievement Award before NBA Finals Game 2 in Oakland, Calif. on June 4, 2017.none
Klay Thompson's dad Mychal and legendary ringside announcer Michael Buffer are seen off court at the NBA Finals before game 1 on Thursday, June 4, 2017 in Oakland, Calif.none
Oakland native and former "Hangin' with Mr. Cooper" star Mark Curry hangs out near the Warriors tunnel after game 2 of the NBA Finals Oakland, Calif. on Sunday, June 4, 2017.none
Larry Beil, Mike Shumann and ESPN's Marc Spears talk basketball before game 2 of the NBA Finals in Oakland, Calif. on Sunday, June 4, 2017.none
Larry Beil and ESPN's Michele Beadle before game 2 of the NBA Finals in Oakland, Calif. on Sunday, June 4, 2017.none
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PHOTOS: Warriors fans 2016-2017
Dub Nation is showing Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Dub Nation is showing Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Dub Nation is showing Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Workers at LendUSA and RPM Mortgages are seen cheering for the Golden State Warriors in Alamo, Calif. on Friday, June 9, 2017.none
A young Warriors fan gives a thumbs up in a photo shared on Thursday, June 8, 2017.none
A young Warriors fan waves a flag in this photo shared on Thursday, June 8, 2017.none
Young Warriors fans smile in a photo shared on Thursday, June 8, 2017.none
A group of young Warriors fans smile in this photo shared on Thursday, June 8, 2017.none
A young Warriors fan gives a thumbs up with his dad in this photo shared on Thursday, June 8, 2017.none
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A cat is seen wearing a Golden State Warriors jersey in this undated image.none
A Dubs fan is seen smiling on Saturday, May 20, 2017.none
A dog shows off Warriors pride on Wednesday, May 17, 2017.none
Pecan the Nut is seen wearing a Warriors bow tie on Sunday, May 21, 2017.none
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Warriors fans are sharing their Dub Nation pride by tagging photos #DubsOn7.none
Golden State Warriors fans are showing their spirit by tagging their photos using #DubsOn7none
Golden State Warriors fans are showing their spirit by tagging their photos #DubsOn7.none
Golden State Warriors fans are showing their spirit by tagging their photos #DubsOn7.none
Golden State Warriors fans sent in their pics using #DubsOn7 or #abc7now to cheer on the Dubs during their 2016-2017 season.none
Golden State Warriors fans sent in their pics using #DubsOn7 or #abc7now to cheer on the Dubs during their 2016-2017 season.none
Golden State Warriors fans sent in their pics using #DubsOn7 or #abc7now to cheer on the Dubs during their 2016-2017 season.none
Golden State Warriors fans sent in their pics using #DubsOn7 or #abc7now to cheer on the Dubs during their 2016-2017 season.none
Golden State Warriors fans sent in their pics using #DubsOn7 or #abc7now to cheer on the Dubs during their 2016-2017 season.none
ABC7 meteorologist Sandhya Patel wears her Blue and Gold finest in support of the Golden State Warriors on Friday, April 14, 2017.none
Golden State Warriors fans sent in their pics using #DubsOn7 or #abc7now to cheer on the Dubs during their 2016-2017 season.none
Golden State Warriors fans sent in their pics using #DubsOn7 or #abc7now to cheer on the Dubs during their 2016-2017 season.none
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Dub Nation is showing Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Dub Nation is showing Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Dub Nation is showing Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Dub Nation is showing Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Dub Nation is showing Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Warriors fans are showing their Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Warriors fans are showing their Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Dub Nation is showing Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Warriors fans are showing their Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Warriors fans are showing their Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Warriors fans are showing their Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Warriors fans are showing their Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Warriors fans are showing their Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
Warriors fans are showing their Golden State pride by sending their photos to ABC7 with #DubsOn7. Go Warriors!none
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