Palace had an initial bid for the Norway international - mooted to be of £50m - rejected by Wolves last week.
However, on Sunday, BBC Sport reports Wolves have now accepted Palace's reduced offer of £48m for Strand Larsen.
Wolves had been seeking £55m to sell Strand Larsen this month, but have now climbed down.
Palace's proposal is for £43m up front plus £5m in bonuses.
If Strand Larsen accepts the switch, Palace are expected to clear Jean-Philippe Mateta to join AC Milan before tomorrow's deadline.