The ex-Liverpool boss is set to land the Bernabeu job and plans to raid his former club to land the Anfield contract rebel
Former Liverpool boss Benitez was in charge at Anfield and played a key role in persuading Sterling to move to Merseyside in 2010.
Benitez, who is set to be announced as Real Madrid's new boss next week, remains a big fan and that will only strengthen their chances of signing the England forward.
Real Madrid are already one of the clubs closely watching Sterling's contract stand-off at Liverpool and will make a move given any encouragement.
Manchester City, Chelsea and Arsenal are also in the hunt for the 20-year-old who has turned down a new £90,000-a-week contract offer at Anfield.
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Benitez even took the personal trouble to show Sterling around the club's training ground when Liverpool beat off competition to sign him in 2010 as a 15-year-old from QPR.
Sterling has a great deal of respect for Benitez and that connection could be crucial if Liverpool decide they have to sell this summer.