German midfielder, linked to Arsenal and Chelsea, has been the subject of much transfer speculation this summer, and is said to be keen on a move home.
The German has been one of the most talked about players this transfer window, with his future at Madrid very much up in the air.
Arsenal have been touted as the likely destination for Khedira, but after looking so promising earlier in the summer, a move now appears to be out of the question.
Instead, Bayern Munich could come knocking, and the 27-year-old is reportedly keen on a move to his native Germany.
Extending his contract as Madrid had also looked a possibility this summer, but with the arrivals of Toni Kroos and James Rodriguez, that also now seems unlikely.
Madrid boss Carlo Ancelotti is set to ditch the use of the holding midfielder in his starting eleven this season, and use Luka Modric and Kroos, who are naturally more attacking, in a deeper role. This means the likes of Khedira and Xabi Alonso are set to be bit-part players, and their sale is not out of the question.
Bayern’s pursuit of Khedira looks to hold more credibility than any other club, with the German Champions needing someone to fill the void for the injured Javi Martinez for the start of the season.
Despite Madrid’s lack of need for Khedira, there are still plenty of variables that have been holding up the deal this summer. The Spanish giants supposedly wanted in excess of £20million for his services, even though he only has one-year left on his contract at the Bernabeu.
Khedira’s wage demands are also reported to have put off the likes of Arsenal, but is unlikely to pose a problem for a club of Bayern Munich’s stature.