Everton are reportedly closing in on a deal to sign James Rodriguez from Real Madrid.

The Colombia international is out of contract at the Bernabeu in 2021 and is widely expected to depart the La Liga champions ahead of the new season.

Everton have been strongly linked with a swoop for the former Bayern Munich loanee, while fellow Premier League sides Arsenal and Wolverhampton Wanderers have also been credited with an interest.

However, according to Sky Sports News, Everton are set to win the race for the midfielder's signature after a breakthrough in talks with Real Madrid.

The report suggests that Rodriguez is set to pen a three-year deal at Goodison Park, where he would be working under Carlo Ancelotti for the third time following their stints together at Bayern and Real.

Rodriguez has registered 37 goals in 125 games for Los Blancos across all competitions since his arrival, but the 29-year-old only scored once in 14 appearances during the most recent season.