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The phrase "realistic understanding" is correct and usable in written English.
You can use it to describe a comprehension of a situation or idea that is based on reality rather than something that is overly idealistic or exaggerated. For example: After months of deliberation, the team had come to a realistic understanding of the project's timeline and budget.
Exact(58)
We need a more realistic understanding about what peer review can do and what it can't.
Any realistic understanding of judicial review rather straightfowardly implies that judges sometimes get to legislate.
Establishing budgetary controls requires a realistic understanding of the firm's activities.
Suppose we accept that the powerful financial bosses have a realistic understanding of what needs to be done.
While I have a realistic understanding of the condition, I refuse to allow autism to define this young man.
But halting offshore development must be evaluated with a realistic understanding of the energy needed to keep our economy moving.
We Americans need to be educated to have a more realistic understanding of how to build a satisfying economy.
It aims to give the public a more "realistic" understanding of the intelligence business than Hollywood can offer.
From this exercise can come a better, more realistic understanding of how Israel and the Palestinians can renew their search for a lasting peace.
He added that the state fire marshal who investigated the case and testified against Willingham "seems to be wholly without any realistic understanding of fires".
Carthy sees the bill as an attack on live music of all kinds by a government that has no realistic understanding of what its implications are.
More suggestions(15)
sober understanding
fair understanding
logical understanding
viable understanding
pragmatic understanding
genuine understanding
practical understanding
historical understanding
true understanding
solid understanding
appropriate understanding
honest understanding
realistically understanding
authentic understanding
factual understanding
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Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com