The Chelsea legend and Aston Villa assistant chief trails only 5/2 tip Mikel Arteta, the Manchester City No 2, in the race to succeed Rafa Benitez.
Terry’s odds have tumbled dramatically since former Blues team-mate Frank Lampard returned to Stamford Bridge as manager.
But the duo’s ex-England colleague Steven Gerrard has slipped out to 16/1 after reportedly rejecting Newcastle to stay as Rangers boss.
Italy and former Etihad chief Roberto Mancini is third favourite at 9/1, ahead of 10/1 tip Roberto Martinez, who guided Belgium to last summer’s World Cup semi-finals after bossing Everton.
Ex-Chelsea and Real Madrid manager Jose Mourinho is rated at 12/1 for the Toon to be his first job since Manchester United sacked him last December.
But it’s ex-Three Lions skipper JT, 38, who is catching the eye of the public.
Terry impressed pundits and Villa players alike with his impressive debut season as a full-time coach.
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That campaign peaked with victory in the Championship play-off final over Lampard’s Derby two months ago.
But it was built upon the way Terry guided and inspired Villa’s youngsters, including England Under-21 striker Tammy Abraham, borrowed from Chelsea.
Loan centre-backs Axel Tuanzebe, of Manchester United, and Bournemouth’s Tyrone Mings, also praised Terry’s influence.
And with Mike Ashley famously reluctant to splash out, the Newcastle owner might well be tempted to follow Chelsea in appointing a figure like Terry who could develop the club from within.