Defour went to the 2014 World Cup alongisde Hazard and has said he is the next best player in the world after Lionel Messi and Cristiano Ronaldo.
He tipped his former team mate to make the move to the Santiago Bernabeu, believing Barcelona and Real to be a step ahead of any Premier League team.
The Burnley midfielder, who was speaking ahead of his showdown with Hazard's Chelsea, a game in which Hazard could not feature due to injury, said:
''The Premier League is still the best competition in the world. But if you are talking club-wise, Real Madrid and Barcelona are above the Premier League.
''As a player you want to play at the highest level. The highest level is the Premier League, but the highest clubs at this moment are Barcelona and Real Madrid.
''It is still a personal choice. If you are an English player playing for a top club in England, that might be good for you.
''Since Eden was a little boy, he has dreamed about playing for Real Madrid and at some point when you get the opportunity you might take it.'
''I think actually Eden's the best player in the Premier League, and that he's just behind Messi and Ronaldo. You cannot compare other players to Messi and Ronaldo. Those two are up at the top. I think at this moment, Eden is the best of the rest.'