The 16-year-old striker is set to join the United academy next season, should the move receive Premier League ratification.
Hugill, who has been playing up to under-23 level with Sunderland, had reportedly attracted interest from the likes of Arsenal, Tottenham, Wolves and Leeds.
United though have leapt ahead of their rivals and agreed a £250 000 deal with Sunderland for the teenager.
The Daily Mail described the youngster as "an old-fashioned style centre forward" and one Ole Gunnar Solskjaer sees could develop in United’s youth ranks.
United have been looking to secure a deal since March for Hugill, who has a decent goalscoring record at U18 level which prompted a promotion to Sunderland's U23s earlier this year.