The Reds have defied the odds to make it all the way to the May 26 final in Kiev, remaining on track for their first continental triumph since 2005.
Madrid head into the match as favourites, having lifted the famous trophy in three of the last four seasons, but former Tottenham Hotspur ace Modric is wary of the talent in Liverpool's ranks.
"They weren't one of the favourites, but when you look at the matches they've played you see that Liverpool deserve to be in the final," he is quoted as saying by Spanish outlet Marca. "They're a good team, they have a great coach and a very difficult match awaits us. But we will be prepared."