25-year-old Chahal took 21 wickets from 13 matches to finish IPL-9 as second highest wicket taker behind pacer Bhuvneshwar Kumar's 23 from 17 games.
"I am considering those who have temperament and not just talent. Yuzvendra Chahal, Rishabh Pant and Krunal Pandya are the top three. I will pick Chahal at the top as he has got the right temperament," Gavaskar said.
"He (Chahal) is not afraid of tossing up the ball and he kept on doing that. When there is some turn on the pitch, there have to be big edges from the batsmen's bat. Chahal also has a big heart and he is not afraid of a big hit. On many occasions, he came back after being hit for sixes to claim wickets," he told NDTV.
Pant scored 198 runs in 10 matches for Delhi Daredevils while Krunal Pandya hit 237 runs in 12 matches and took six wickets for Mumbai Indians.
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Gavaskar also included Chahal in his IPL-9 XI along with Indian cricket stalwarts Virat Kohli and Mahendra Singh Dhoni.
Triumphant side Sunrisers Hyderabad captain David Warner and Rising Pune Supergiants' Ajinkya Rahane were Gavaskar's choice as openers, followed by Royal Challengers Bangalore captain Kohli and his team-mate AB de Villiers at the crucial number three and four spots.
KKR's West Indian Andre Russell got Gavaskar's nod at number seven as a useful all-rounder with Chahal and Sunrisers Hyderabad trio of Bhuvneshwar, Mustafizur Rahman and Ashish Nehra as specialist bowlers.