Gerard Moreno's penalty condemned Los Blancos to a second league defeat of the season as coach Quique Setien's side did former employer Barcelona a favour.

Champion Madrid was aiming to return to the summit before Barca's trip to Atletico Madrid on Sunday, but Villarreal was good value for victory in an exciting meeting at Estadio de la Ceramica.

Villarreal created a host of promising openings during an entertaining first half but had to wait until just after the break to make the breakthrough thanks to Yeremy Pino.

Karim Benzema levelled with a spot-kick conceded by Juan Foyth on the hour mark.

The Argentinian defender then won one at the other end, with Moreno's confident finish ultimately sealing the win.

Villarreal had been the better side right from the start, going close after 28 seconds as Alex Baena sliced over.

Francis Coquelin then had an impudent backheeled finish clip the post from Alberto Moreno's low cross four minutes later.

Villarreal was indebted to Jose Reina just before the break, rushing out to deny Vinicius Junior.

The Yellow Submarine capitalised 65 seconds after the restart as Gerard Moreno released Yeremy into the box, his finish finding the net via deflections off Courtois and David Alaba.

Benzema spurned a glorious chance to level when Foyth blocked his goal-bound effort on the line but the Frenchman made the most of his penalty reprieve after the defender's handball in the build-up was punished by a VAR review.

Villarreal went straight up the other end and won a penalty of its own moments later, though, Foyth seeing his pass handled by Alaba, and Moreno made no mistake.

Madrid's desperation led to Courtois going forward for a late corner and Arnaut Danjuma almost made it 3-1 on the break, though his inability to score into the empty goal did not matter.