Hamilton has been open about his dream of driving for Ferrari one day and with his current deal expiring at the end of 2018, there had been speculation he could make the switch.
However, the Brit claims Vettel does not want to be his team-mate and now that the German has signed with Ferrari until 2020, Hamilton appears ready to commit to Mercedes.
“It is good for Sebastian that he has signed now,” Hamilton said.
“I think all things happen for a reason, and that decision made my life probably a lot easier, as I know very much now where I am going to spend my time for the few years I have left in this sport.”
Hamilton seems to have left his career open-ended – he has previously spoken of his frustration at not being able to take time out of F1 to drive a NASCAR race.
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Vettel meanwhile was understood to be interested in Hamilton’s seat at Mercedes and even contacted non-executive director Niki Lauda about the possibility.
The idea is thought to have held up his contract talks with Ferrari as he looked for a shorter deal to give him flexibility if Hamilton walked away from his current team.
And the Brit admits he was caught out by the length of the contract Vettel eventually signed.
“I don’t know if anyone expected him to sign a three-year deal,” Hamilton added.
“It doesn’t really change anything for me, because I plan to extend with the [Mercedes] team and this we will do in the second part of the season, towards the end of the year.
“There is no rush, and I know the team is fully committed to me.
“I am not trying to weigh out my options, and even if I was I would just call Toto [Wolff, team boss].
“Currently I have no plans to do that.”