The In Case You Didn't Know star told fans that he is "definitely" accepting the offer to host his second series of the ITV2 spinoff show.
Murs wrote on Twitter: "So just to clear up.. DEFINITELY doing Xtra Factor again this year, just need to sign on the dotted line and just work out my dates!"
The 27-year-old X Factor runner-up had previously admitted that he was unsure about whether bosses would renew his contract.
With Murs supporting One Direction on their US tour this summer, The Sun claims that 2011 co-host Caroline Flack will front the audition shows alone.
"X Factor bosses loved Olly on last year's show and really wanted him to do it," a source alleged.
"Once the One Direction tour was confirmed we decided to offer him just the live shows instead."
However, ITV has not yet officially unveiled either Murs or Flack as the 2012 hosts.
Watch Olly Murs interviewing Little Mix, Tulisa Contostavlos and Dermot O'Leary on The Xtra Factor below: