Bailey will depart Bayer Leverkusen after he's done with a medical and also finalised his personal terms with Villa.
Bailey's move to the West Midland's club is reported to be in the region of £30 million.
According to The Athletic the 23-year-old is expected to join Dean Smith's side early next week.
Aston Villa on their official website disclosed the news with a statement which reads;
"Aston Villa and Bayer Leverkusen have reached an agreement for the transfer of Leon Bailey subject to the player completing a medical and finalising personal terms."
Bailey will bring on board huge improvement into the Villa's attack with his scoring prowess and pace.
He scored nine goals in the Bundesliga last year and provided eight assists for Leverkusen.
Following the signings of Emiliano Buendia and Ashley Young from Norwich City and Inter Milan respectively, Bailey will become Villa's third signing in the summer.
The hunt for Bailey seems to be a replacement for Jack Grealish who is a £100 million target for Manchester City.
Leon Bailey has scored 28 goals in 119 Bundesliga appearances for Leverkusen.
With his exploits in the Belgian Pro League, Bailey attracted interest from top Premier League clubs like Manchester United, Chelsea and Liverpool before heading to Leverkusen.
Leverkusen brought Bailey from Belgian outfit Genk in January 2017 for a fee of €20 million.
Aston Villa finishing 11th in the league log last season will hope to do better this term when they kick start their 2021-22 Premier League campaign away with Watford at Vicarage Road Stadium on August 14.
