Spurs chairman Daniel Levy has agreed a fee with the Latics with the £14 million due over two years.
However Palacios is yet to agree a deal with Tottenham and could well remain with seventh placed Latics in the hope of a move to Manchester United at the end of the season.
Attempting to gloss over the length of discussions between Palacios and Tottenham, Harry Redknapp said: "We've agreed a deal and the chairman is talking to his people. Hopefully it will happen."
Whilst Latics boss Steve Bruce added: "He has had a fantastic 18 months here and we will fight to keep him but it is difficult."
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