Manchester City chiefs had put talks on the back burner to allow the rapid 22-year-old to focus solely on his football after a turbulent summer.
Sane is contracted until 2021 but did not start this season after boss Pep Guardiola insisted the starlet needed to do more in training and on a match day.
Along with his controversial omission from Germany's World Cup squad, last season's PFA Young Player of the Year recently became a father for the first time.
Sane, however, has appeared back to his best in recent games and Guardiola is confident the player is in a much better place than he was just a few weeks ago.
The former Schalke man is expected to start tonight for the Citizens when he returns to his homeland to take on Hoffenheim in the Champions League, with Guardiola's men needing to get their European campaign on track after losing their opening group game at home to Lyon.
Sane earns around £65,000 per week at present and can expect a substantial increase if he maintains his consistency between now and the end of the year.