The Oxford born defender has been with the club since joining their Academy at the age of eight.
On securing the future of the 21-year-old, Royals manager Steve Clarke said: “I’m delighted that Jordan has committed to Reading Football Club by signing his new deal. He is a young player with a great future ahead.”
After progressing through the ranks he made his first debut at 16 against Torquay United in the League Cup in August 2010.
Throughout his time with The Royals, Obita has had many loan spells to build up his first team experience with Barnet, Gillingham, Portsmouth and Oldam.
Last season, the former England U-20 international made 51 appearances for Clarke’s side, including featuring regularly at left-back in the club’s run to the FA Cup semi-final at Wembley.
The young defender, one of 15 former Academy graduates in the current squad, has already made more than 100 starts in professional football.
Ahead of the 2015/16 season, Obita has featured in all of Reading’s pre-season games and wore the captain’s armband for the first time in a 2-0 away win at Bristol Rovers earlier this month.
Director of Football Nick Hammond added: “It’s an important signing for the club because he’s an outstanding young player who is destined for big things.”
Reading’s Chief Executive Nigel Howe stated: “Jordan is one of our own and it is great to see another Academy graduate commit his future to a club he knows inside out.”