Even though Bale's contract at Real Madrid only has 1 year left but if he can show good form (and become Carlo Ancelotti's first choice) then he will most likely be offered a contract renewal by Real Madrid (at least for 1 or 2 years).
Yes, many people predict he will have more playing hours and succeed with Anceloti. He is also only 32 years old, if you look at the history with Madrid he is a good player, but since there was a problem with Zidane he rarely gets game time. When he was on loan at Tottenham he played well, he scored 16 goals for one year. Although the minutes of play are few.