The 21-year-old has made 71 league appearances for Bremen since arriving from Schalke in 2008, and was one of the World Cup’s star performers in the summer, as a rampant Germany swept into the semi-finals after dismantling England and Argentina in the knockout stages.
Since then, he has been linked with a host of top European clubs including Manchester United, Chelsea, Arsenal and Barcelona.
Ozil had been included in Bremen’s squad for the Champions League qualifier against Sampdoria this week, with any appearance making him cup-tied for another club in Europe.
Real boss Jose Mourinho therefore decided to swoop now, with Real agreeing a fee believed to be in the region of £12.4 million to take Ozil to Spain immediately.
He joins fellow Germany international Sami Khedira at the Bernabeu, after the former Stuttgart midfielder put pen-to-paper earlier this summer, along with Angel Di Maria, Pedro Leon, Sergio Canales and Ricardo Carvalho.
Ozil's father had earlier revealed that his son had his heart set on a move to Madrid.
Mustafa Ozil told Turkish newspaper Hurriyet that a deal had been struck with the Spanish giants that would see his son sign for Real either this summer or next.
“We promised that if Bremen keep Mesut for now, next year he will join for free,” he said.
“Mesut and I stayed at the chalet of Florentino Perez in Madrid, he invited us there and everything was resolved quickly. We were impressed by his willingness to help my child play for his club.
“My son has always said that the only club he wanted to go to was Real Madrid.”
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