The Senegal international is looking for a move back to the Premier League.
Manchester United have been linked with Sarr in recent weeks.
The Athletic reports that Palace are serious about signing the 24-year-old.
Sarr sent scouts wild with an unbelievable goal for Watford last week.
West Ham, Leeds, Everton, Newcastle and Leeds have also been linked with Sarr, who is rated at £30m.