Jose Mourinho has effectively ruled himself out of taking over at former club Chelsea after revealing that he sees his immediate future with Real Madrid.

The former Blues manager had been linked with a return to Stamford Bridge following the sacking of Andre Villas-Boas on Sunday.

Speculation increased when Mourinho was apparently seen house hunting in London, but 'The Special One' has now indicated that he is set to stay in Spain, according to the Daily Mail.

"I am going to sign a new contract with Real Madrid. I would like to have a place in the club's history," he said.

"Real Madrid and I share a project and we are going to carry on with it. Being part of this team is a fantastic and unforgettable experience for a manager like me."

"I see my future as achieving more things with Real Madrid and better results that lead to us winning trophies."

Mourinho left Chelsea in 2007 having won two Premier League titles and an FA Cup.