The Norway striker originally joined Wolves in January on-loan to June from Celta.
And after an impressive six months, Wolves have announced the permanent transfer of Strand Larsen.
Centre-forward Strand Larsen has signed a contract at Molineux to 2029.
"It’s been a good first season in the Premier League,” Strand Larsen told the club's website. “I’m proud of what I’ve done. I’ve been able to take the steps quite earlier than I’ve done before. Previously when I moved to a new country, I’ve needed more time to get into it and score goals.
“As a striker, the team need you to score the goals and be on the end of the crosses, so to score 14 goals – and come back after my injuries and a little dip of form – it was a good season for me in that respect.
“Since Vitor and his staff came in, I scored eight goals, and seven goals in seven or eight games, so it was a good end of the season, and as a team we progressed in a really good way for next season.”