Reed joined the Texans in the off-season after a contract with the Baltimore Ravens expired. He played seven games with Houston and was critical of the Houston coaching staff after last week's game.
The Texans reacted by releasing Reed, 35, Tuesday. The Jets reached an agreement with Reed and he was expected to join team workouts Thursday.
Reed played 11 seasons with the Ravens and was selected to the Pro Bowl nine times in that period. His defensive coordinator for several years in Baltimore was Jets Coach Rex Ryan.
Reed has 61 career interceptions -- 10th most all-time in the league -- and an NFL-record 1,541 interception return yards.
The Jets are 24th in pass defense in the NFL and only four teams have fewer interceptions this season.
New York plays at Buffalo this week and then has a game Nov. 24 against Reed's former teammates in Baltimore
Millions of Getty images now available for free via embed tool
NBC reportedly holds celebs hostage to Jimmy Fallon's show