Diego's agent and father claims the Werder Bremen playmaker would be keen to play for Real Madrid.
The Brazilian is one of European football's brightest talents and has been linked with moves to Chelsea, Juventus and Manchester City.
He is under contract at Bremen until 2011 and has admitted that he is happy to leave his future in the hands of the Bundesliga club.
But his representative Djair da Cunha has revealed that the former Porto schemer fancies a move to Spanish champions Real.
"Diego would definitely like to play for Real Madrid," Djair da Cunha told Marca.
"Real Madrid is a great club, a very important club.
"But I am his only legal representative and I can assure you that for the moment there is nothing."
Djair da Cunha is waiting for Real to declare an interest in setting up a deal, but feels any talks should wait until the summer.
He added: "If Real Madrid is interested, it must say so. But I think that would be better at the end of the season. Now is not the time.
"It does not depend on us."
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