The 25-year-old is the hottest property in world football at the moment after two phenomenal seasons which have seen him claim the German No 1 spot and produce what Sir Alex Ferguson called 'the best performance ever by an opposing player' against United.
Is that the way to Munich: Schalke's goalkeeper Manuel Neuer is set to join Bundesliga rivals Bayern this summer
That fine showing in the Champions League semi-final reignited Ferguson's interest in Neuer, but after making tentative approaches to Schalke, United now appear ready to admit defeat.
German publication 'Kicker' revealed on Thursday that Bayern had agreed to pay ?15.5m up front for the German international with add ons of ?2.6m for winning the Bundesliga and ?3.5m for glory in the Champions League.
It is now expected that Bayern will parade their new signing in the weeks after the domestic season finishes, between May 23-26, after Neuer signs the four-year deal worth ?5.25m a year in wages.
The announcement appears to bring to an end one of the season's longest-running will he/won't he transfer sagas that has seen claim and counter claim from all parties.
Top stopper: Neuer is the hottest property in the goalkeeping world
Only last month Neuer ruled out the possibility of a switch to the Premier League, saying: 'United scouts have come to Germany to watch me in the past and I'm absolutely flattered. But a move to England was not an option for me at this stage.
'At this moment, I cannot say for sure where I will be next season because I leave that to other people, but I don't expect it will be in England even though I respect the football and culture of that great football country.'
Things changed, however, when Bayern took a step back from the sale by admitting an agreement seemed unlikely because of the disparity in value between them and Schalke.
But with Neuer entering the final year of his contract, it seems Schalke have buckled for fear of losing their prize-asset for nothing next season.
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