The 38-year-old is facing an uncertain future at the Santiago Bernabeu as he is due to see his current contract expire at the end of the season.
Modric has spent 12 successful years with Los Blancos, recording 39 goals and 83 assists in 518 appearances across all competitions as well as winning a total of 23 trophies.
The five-time Champions League winner has struggled for regular first-team football this season, though, having started only 16 of his 30 appearances, including just 11 La Liga starts.
Manager Carlo Ancelotti recently acknowledged that Modric's contract situation at Real Madrid is «complicated» and that the Croatian will ultimately make the final decision on his future.
Should Modric part ways with Real Madrid this summer, Fichajes reports that they La Liga leaders will step up their interest in Inter star Barella.
The report adds that Inter's financial situation could work in the favour of Los Blancos, who are expected to have significant funds available for summer reinforcements.
However, it is also claimed that Inter are not prepared to part ways with Barella easily, despite their financial predicament, and would demand a figure in the region of €60m (£51.3m) for the midfielder.
In addition, it remains to be seen whether Barella would be interested in leaving Inter, as multiple reports have recently stated that the 27-year-old is close to extending his contract at San Siro until 2029.
Barella has spent the last three-and-a-half years with Inter and has developed into a star player for club and country, with clubs from La Liga and the Premier League believed to be keepings tabs on his
Read on sportsmole.co.uk