Liverpool have reportedly joined the race to sign out-of-favour Real Madrid midfielder Dani Ceballos during the January transfer window.

Ceballos only joined Los Blancos this summer and went on to enhance his burgeoning reputation at the Under-21 European Championships, where he was named player of the tournament after helping Spain to the final.

However, the 21-year-old has since failed to establish himself as part of Zinedine Zidane's first-team plans at the Bernabeu, making only two La Liga starts so far this term.

Spanish publication Don Balon reports that Ceballos already regrets joining the European champions and is desperate to secure a move away in January.

Liverpool are reportedly monitoring the Spaniard's situation ahead of a possible move, although the Reds are likely to face fierce competition for his signature.

The likes of Roma, Inter Milan, Tottenham Hotspur and Arsenal have also been credited with an interest in the youngster, who began his professional career with Real Betis.