Lucas Moura will reportedly remain at Sao Paulo for one more season before joining Real Madrid at the start of 2013-2014.
Jose Mourinho watched the Brazilian midfielder in his nation's friendly against Denmark and is keen to sign the player.
The Portuguese coach believes that Moura needs a season on loan to gain experience, but other clubs including Chelsea and Inter are keen for the Brazilian's signature.
Moura's agent Wagner Ribeiro began talks with Real Madrid a few weeks ago accompanied by the player's parents, and it is reported that the midfielder wishes to play his football at the Santiago Bernabeu.
