Jose Mourinho's side are currently riding high at the top of the Premier League table, leading Liverpool on goal difference.
Arsenal, meanwhile, have had a torrid season so far and are down in 14th, having won just four out of their opening 10 games.
They are also averaging just one goal per game in the league.
The Gunners have historically been the dominant side in North London over the years, but Redknapp reckons that not been the case for a while now, and thinks Tottenham have what it takes to win the league.
“Tottenham have got a good squad,” he told talkSPORT.
“They’ve got strength in depth, they’ve got two internationals for every position, it’s a very different looking Tottenham squad and it’s very strong.
“I think they’ve got a real chance [of winning the title].
“I think Arsenal are where I expected them to be, I think they’ll finish up in the top seven or eight, but just about.
“Arteta has got a long job on his hands, I like him but it’s not an easy one, and I think their team is well short.
Arteta took over Arsenal around a year ago and helped them to a FA Cup victory at the end of the campaign. However, there have been accusations aimed at the Spaniard that the team hasn't improved since the tenure of Unai Emery.