Not only is this taking place in Randy Savage's backyard of Tampa, FL.. but the ring is also set up outside to where it puts Hardy at a nature disadvantage. Normally one of the Hardy trademarks is running the railing and diving at his opponent.. he can't do that, with the ring entrance being level with the ring. (short of him doing it backwards)
Savage is the better in-ring performer, albeit both are very even when it comes to overall skill. I'd say Randy Savage should have the clear upper hand, since in his day he was more or less the Jeff Hardy of that era. He was the high flyer, and did a lot of crazy stuff to pull out the win. When you match that up against Jeff, you then have to consider it to be evenly matched.. so you look at the outside factors.
Such as the crowd, who'll be completely behind Savage, the setting, which works in Savage's favor more so, and finally.. the overall skill, and Savage is a ring vet.. who should pick up the victory over Hardy.