The 45-year-old Portuguese has been all set to succeed Nuno Espirito Santo at Molineux since being granted a work permit by the FA on Wednesday.
And all the formalities are expected to be completed before an official announcement from the club in a matter of days.
Lage, who guided Portuguese club Benfica to Primeira Liga glory in the 2018/19 campaign, will be bringing in his own backroom team.
It is understood one of those who will be coming in, too, is his younger brother, Luis Nascimento.
Reports in Portugal have said Nascimento will take up the role of Lage's assistant and while that is not yet confirmed, he is believed to be joining Wolves in a coaching capacity.
Nascimento, like Lage, previously worked in Benfica's youth ranks. He has also been the assistant boss at Rio Ave.