The Spaniard has been tipped to replace Manuel Pellegrini at the Etihad but he is ready to wait to see how Louis van Gaal performs at Old Trafford next summer
The Bayern boss is out of contract at the end of next season and has been linked with the post at the Etihad, should Manuel Pellegrini depart this summer.
But the 44-year-old is understood to be tempted by the prospect of managing at Old Trafford and will wait to see how Louis van Gaal performs next season - reports the Manchester Evening News.
Van Gaal will only have one year left on his contract by that stage - potentially leaving United executive vice chairman Ed Woodward in a difficult position.
The Dutchman will be approaching his 65th birthday and entering the final 12 months of his deal at a time when the world’s most sought-after coach becomes available.
Shaun Botterill 
City chief executive Ferran Soriano and director of football Txiki Begiristain are determined to be reunited with the man they worked with at the Nou Camp.
They've been encouraged by the fact that he has not ruled out the possibility of taking over - but there are no guarantees they will secure his services.
Alex Livesey 
Guardiola has confirmed he will see out the remainder of his contract at Bayern, where he has won back to back titles.
Pellegrini also has a year to run on his deal at City, with the club intent on sticking with the Chilean next season despite a trophyless campaign.
Van Gaal has successfully led United back to the Champions League in his first campaign in charge, but will be expected to deliver silverware next term.