Houston's agents made the announcement on Twitter and he later confirmed to the Detroit Free-Press that he was returning to the Lions.
"I'm excited that it's all over," Houston told the newspaper. "I've been through free agency before, and it was crazy that time. It was crazy this time, also, but I'm just happy that I have a home, a place to go and finish out my career. I'm not one of those guys out there who's worried about where they're going to be, so I feel pretty good."
Jones' agent also tweeted his client's agreement with the Lions.
Jones went to high school in Lathrup Village, Mich., and played college football at Eastern Michigan. He was a backup defensive tackle last season for the Seahawks. His season ended in December due to a lingering knee injury.
But the 6-foot-5, 276-pound Jones could play a bigger role with the Lions, who may lose defensive end Cliff Avril to free agency.
Detroit also released veteran Kyle Vanden Bosch last month.
Houston had two interceptions, two forced fumbles and 56 tackles last season for Detroit, his third season with the Lions. He had a career-best five interceptions in 2011.
In 87 career games, he has 332 tackles, 11 interceptions and four forced fumbles.
Houston, 28, was taken in the second round of the 2007 draft by the Atlanta Falcons.
Information from ESPN.com NFC North blogger Kevin Seifert and The Associated Press was used in this report.