The France striker has found the back of the net just once in La Liga this season, and looks set to leave the Bernabeu with Jose Mourinho ramping up his interest in Emmanuel Adebayor.
On the move: Real striker Karim Benzema could sign for Aston Villa on loan
Benzema shot to prominence under Gerard Houllier at Lyon, but has failed to justify the £30million fee the Spanish giants forked out for him in July 2009.
Houllier is keen to bolster his attacking options after John Carew signalled his intent to quit Villa Park, and Benzema has told the French boss he'd be interested in a loan move.
In demand: Real Madrid are interested in signing City's Emmanuel Adebayor
Any deal however, could be scuppered by the news that Gonzalo Higuain is out for the rest of the season with a back injury, and Mourinho is only prepared to let Benzema leave if he can sign a replacement.
Manchester City striker Adebayor is keen to join up with the Portuguese at Madrid, but the two clubs have so far failed to reach a transfer agreement.
Wanted: Villa are among a number of clubs interested in Blackpool skipper Adam
Houllier is also close to agreeing deals for in demand Blackpool midfielder Charlie Adam, as well as Lyon's Jean Makoun, and Moussa Sissoko.
The former Liverpool chief has also expressed his interest in Bayern Munich skipper Mark van Bommel, whose contract expires at the end of the season.
Pires is back! French star to join Villa (at 37) - and Houllier wants Benzema too!Benzema heads Villa's French revolution as Houllier lines up Cisse and PiresAdam is a big-time Charlie! Holloway will only let skipper leave for giantsASTON VILLA FC