Hodgson revealed after Saturday's 0-0 Barclays Premier League draw with Wolves that striker Nevland would leave for Norwegian side Viking Stavanger at the end of the season.
Hodgson had hoped to tempt Nevland to stay at Craven Cottage with a new one-year deal but the 32-year-old has decided to return to the club where he started his career.
"He's a marvellous player, a fantastic professional and a very good footballer," said Hodgson of the former Manchester United player.
"He has played a major part in the success we have had in the two and a half years he has been at the club and I must congratulate Viking on the signing. He'll score lots of goals for them."