There is always hope
Raiders are surely headed in the right direction - drafting well and being able to attract solid players in FA. In the end of the day, however, IMO the ceiling for that team is set by having Del Rio as their coach. I am just not a fan and find it hard to project the Raiders as more than a 7-9 to 9-7 team, at best (it's a fine line between the two).
The AFC West is shaping up to be a pretty balanced division - Raiders and KC should build on their success from last season, Denver has lost some important pieces, while San Diego should be pretty decent if they manage to avoid the avalanche of injuries from last year. In such a situation, a 9-7 record could well be enough to top the division.
At this point, I'd say KC should be considered favorites in the AFC West, though, or at least a better, more mature team than the Raiders.