The 18-year-old is steadily establishing himself as one of the hottest prospects in European football and is widely being tipped to break the world-record fee should he eventually decide to leave the Ligue 1 side.
Mbappe has struck 12 goals in 11 starts and 11 substitute appearances this season in the French top flight, with a further seven goals coming in cup competitions.
As well as Real Madrid, Mbappe has been linked with a move to Manchester United, Arsenal and Chelsea, though the newly-capped France international believes the Liga giants are where the very top players go to play their football.
"Today, I am at Monaco. Real Madrid? We will see after," Mbappe told reporters after France's 2-0 defeat to Spain.
"You should go to Real Madrid when you are at the top of your game. I'm not at the top of my game. But anything is possible."
Mbappe, who became France's youngest player for over 60 years when he was introduced against Luxembourg last week, was handed a start in Paris before being replaced by Arsenal's Oliver Giroud in the second half.
Antoine Griezmann had seen a goal correctly ruled out for offside by the Video Assistant Referee (VAR), before it was used again to confirm the legality of La Roja's second of the game.
Speaking about the use of VAR, Mbappe said: "I am for video technology but to have to wait two minutes after a goal is too long."