This is part two of a two-part series predicting offseason moves for the New York Yankees. Part one focused on free agency and arbitration decisions. Part two focuses on outside free agents and potential trades.
On Tuesday, Major League Baseball proposed to push their goal of instituting a salary floor and cap from 2027 to 2028, with an initial 2028 cap of $258.2 million.
That figure is $12.9 million higher the $245.3 million mark from their original July proposal, approximately a 5% increase.
While it is unlikely the 2027 number would’ve ever been accepted by the MLB Players Association — the association has already rejected the 2028 number — a cap being introduced in 2027 would have severely hamstrung the Yankees’ offseason.
New York has $212,405,034 in guarantees going into next season and are projected to spend $36.7 million should they offer arbitration to all nine eligible players. That $249,105,034 doesn’t even include pre-arbitration contracts.
The Yankees, along with seven other teams who would have to shed salary to duck under the proposed 2028 salary cap number, may spend more cautiously this offseason until a concrete format is in place.
In the meantime, here are some cost-effective, short-term moves the Yankees would benefit from.
Shoring up the bullpen
Assuming the Yankees re-sign closer David Bednar and relief ace Paul Blackburn, they would retain their top three leverage arms from last season, including Brent Headrick.
Outside those three, the Yankees’ bullpen was largely scraped together when the postseason rolled around.
Starters Will Warren and Ryan Weathers were bumped to the bullpen, while John Schreiber was a late-season waiver claim. Ryan Yarbrough was more an adequate swingman than a needle mover.
Either Warren or Weathers will start the year as a reliever if the rest of the rotation is healthy. Weathers could assume Yarbrough’s role as the swingman, as he has a more extensive relief background than Warren.
Fernando Cruz may also be back, though he is a candidate to start the season on the IL as he recovers from a torn right ulnar collateral ligament.
That leaves three open spots to fill.
One will inevitably go to a minor-league signing or depth arm that performs well in spring training, such as the out-of-options Luis Gil.
Another seems destined for flame-throwing top prospect Carlos Lagrange. whose major league debut in 2027 seems inevitable should he stay healthy.
With the final spot, the Yankees could opt to sign a veteran to a short-term major league contract, as they did to retain Blackburn last offseason.
The Yankees front office often targets traits including high velocity, strong groundball rates and a slider-heavy pitch mix.
While Tyler Alexander averaged just 91.7 mph on his fastball in 2026, he missed barrels, limited hard contact and induced ground balls at an 86th percentile rate or better, according to Baseball Savant. The swingman did so while throwing his sweeper 18% of the time.
The left-hander has made 62 career starts, giving him the wider pitch mix the Yankees also targeted with Blackburn.
Final prediction: Lagrange selected to 40-man roster, Alexander signed for one year, $2.1 million
Adequately addressing catcher
The Yankees front office has punted multiple times on finding a right-handed hitter to compliment left-handed hitter Austin Wells behind the plate.
Wells was horrid in the first half but picked up the pace post-All-Star break, slashing .229/.351/.436 with an .787 OPS from that point on. The 27-year-old was also a Gold Glove finalist.
Wells deserves to be in the lineup against right-handers, meaning the Yankees need a platoon bat rather than a full-time starter.
That likely rules out top-of-the-market options like Ryan Jeffers and Carson Kelly, even if the Yankees were frequently linked to the former at the trade deadline.
It also throws cold water on the idea of acquiring Colorado Rockies’ top trade chip Hunter Goodman.
Reenter, Kyle Higashioka. Originally a Yankees farm hand for eight seasons before debuting in 2017, Higashioka was a reliable glove-first backup with some pop before being shipped to San Diego as part of the Juan Soto trade during the 2023-24 offseason.
While his glove has declined in three seasons since leaving New York, his ability to hit lefties has not. In 54 plate appearances against left-handers this season, Higashioka slashed .255/.352/.489, good for an .841 OPS.
Higashioka will likely command a one-year deal, and the arrangement would buy the Yankees one more season to decide whether Wells is the long-term answer.
Final prediction: Higashioka signed for one year, $4.4 million
Dealing for a third baseman
2025 trade deadline acquisition Ryan McMahon severely underperformed in 2026, posting a sub-.700 OPS for the second-straight year. While McMahon has never been a consistent bat, his defense also regressed to just average.
With third base being the clearest position of need and the free agent class being headlined by 35-year-old Eugenio Suárez, the Yankees could turn to the trade market.
On Monday, the Houston Astros exercised a $13.35 million team option on third baseman Isaac Paredes’ 2027 services. Though the value was there after Paredes accumulated 4 WAR and posted an .806 OPS, the Astros also have a logjam in the infield.
Second baseman Jose Altuve, shortstop Jeremy Peña and third baseman Carlos Correa aren’t going anywhere. Neither is first baseman Christian Walker, as his $20 million salary would be prohibitive in any deal.
Paredes is a subpar defender, notching –7 defensive runs saved in 2026 and profiling better as a designated hitter. That’s not an option in Houston either, as probable American League MVP Yordan Alvarez has the role locked down.
The Yankees may be willing to stomach that poor defense to add some right-handed power to the lineup, a clear area of weakness with Aaron Judge out of the lineup. Even away from the Crawford Boxes at Daikin Park, Paredes would still bring 20-home run power.
With Houston perennially in need of rotation help, the Yankees could send a pair of near-major league ready arms in return. Though he struggled immensely at the major league level, Brendan Beck won International League Pitcher of the Year in 2026 after finishing his Triple-A season with a 2.93 ERA and 151 strikeouts in 135 1/3 innings.
The addition of borderline top 100 prospect RHP Ben Hess (MLB Pipeline Yankees No. 5) would give the Astros additional long-term upside.
With Paredes in the fold, the need for McMahon would be minimal. Perhaps the Yankees could flip him with a lottery ticket prospect or eat money in a trade, but the more likely outcome is a simple release.
Final prediction: Yankees acquire Paredes, Astros receive Beck and Hess
Projected roster
Starting pitchers (5): RHP Gerrit Cole, LHP Max Fried, LHP Carlos Rodón, RHP Cam Schlittler and RHP Warren
Relievers (8): LHP Alexander, RHP Bednar, RHP Blackburn, RHP Cruz, RHP Gil, LHP Headrick, RHP Lagrange and LHP Weathers
Catchers (2): Higashioka, Wells
Infield (6): José Caballero, Luis García Jr., George Lombard Jr., Paredes, Ben Rice and Anthony Volpe
Outfield (4): Cody Bellinger, Spencer Jones, Judge and Heliot Ramos
Designated Hiter (1): Giancarlo Stanton
Salaries, AAV estimates from Spotrac
Arbitration projections by MLB Trade Rumors Contributor Matt Swartz
Luckily they got their .250 17 LF for $165M last year