The former Reds striker believes Brendan Rodgers will be able to keep the Italian under control.
The former Reds striker, who also turned out for Manchester United, Newcastle United and Stoke City during his time in the Premier League, is looking forward to having the Italy striker back in England.
The 24-year-old could move to Anfield for a fee of £16 million and Owen believes the figure represents good value.
And Owen also feels Balotelli won't cause Liverpool the trouble that Luis Suarez did, as he believes Brendan Rodgers can make sure he behaves.
"Going to be great fun having Ballotelli [sic] back in The Premier League," Owen wrote on Sportlobster.
"There is no doubt about his talent and I'm sure Brendan Rodgers will make sure he behaves having witnessed the problems Suarez inflicted on the club. If that's the case, 16m looks good value."
Both Balotelli and Suarez have a controversial past, with the former fighting with boss Roberto Mancini during his time at Manchester City and often being sent off - as well as lighting fireworks inside his own house (!)
The latter, meanwhile, caused plenty of problems for the Reds with racism scandals and his infamous bite on Branislav Ivanovic.
Suarez left Anfield for Barcelona for a fee of £75 million this summer and it seems Balotelli has been earmarked by Rodgers as his replacement, despite previously denying the fact that Liverpool are interested in the Italian.
It appears Rodgers has returned to the prospect of signing Balotelli as other targets did not come through.