The 70-year-old has been at the Eagles' training ground today discussing a deal to take over at the club, one day after they parted ways with Frank de Boer following their winless start to the new Premier League season.
"It's close, I hope it's close anyway," Hodgson told Sky Sports News from the confines of his car as he left Palace HQ.
"It's an opportunity to return to the game I love and I club I've always admired and liked and supported as well. It's a good day for me - I'm very, very happy and I'm looking forward now hopefully to getting down to some work and trying to help us get some more points in the league and get up the table.
"At the moment I'm not prepared to talk about the squad - I haven't met them yet but I'm looking forward to working with them. They did very well last season, especially towards the end of last season, so I've got no reason to believe they can't do it again."
Asked about De Boer, he added: "I've always got sympathy for managers who lose their jobs but it's a fact of life. It's not my business, it's the business of the club. I'm pleased that they've turned to me and allowed me to take the job on."
Hodgson's first game is likely to come this Saturday at home to Southampton.