Boss Dean Smith will reluctantly allow the Republic of Ireland international to depart in order for him to get more playing time.
Hourihane has scored 29 goals in 150 appearances since joining Villa four years ago but has fallen down the pecking order this season, featuring just four times in the Premier League.
Villa are hoping to further bolster their midfield options with the signing of Morgan Sanson from Marseille.
“Personally I would like Conor to stay,” said Smith on Tuesday. “He’s been to see me a few times and intimated to me that he wants to go out and play games, which is one of the reasons why I love Conor so much.
“He’s never happy when he’s not playing. We’ll look at the possibility but it’s got to be right for Conor and the football club as well. It would be a loan to the end of the season to get him back playing and get him back to us.”
Talks with Marseille over a deal for Sanson remain ongoing. The 26-year-old is believed to have agreed personal terms with Villa, though the clubs are yet to agree a fee.
Villa are hoping to secure the services of the former France under-21 international for around £15million.