The team in red was at home (7)
I believe the answer is:
resided
'at home' is the definition.
The answer and definition are different parts of speech. However, adjectives and past participle verbs can occasionally mean the same thing.
'the team in red' is the wordplay.
'the team' becomes 'side' (both can mean a sports team).
'in' indicates putting letters inside.
'side' going into 'red' is 'RESIDED'.
'was' acts as a link.
Can you help me to learn more?
(Other definitions for resided that I've seen before include "Lived" , "Dwelt" , "Abode" , "Sojourned" , "Settled" .)