For the 2007–08 season, the club hired former Bayern Munich manager Felix Magath, with whom they managed to finish in fifth place at the end of the season, the highest finish for the club at the time. This also enabled the Wolves to qualify for the UEFA Cup for only the second time in their history.
In the 2008–09 season, under Magath, Wolfsburg claimed their biggest success by winning their first Bundesliga title after defeating Werder Bremen 5–1 on 23 May 2009. During this campaign, Wolfsburg equalled the longest winning streak in one Bundesliga season with ten successive victories after the winter break. They also became the only team in the Bundesliga to have had two strikers scoring more than 20 goals each in one season, with Brazilian Grafite and Bosnian Edin Džeko achieving this feat in their title-winning season, scoring 28 and 26, respectively, with Zvjezdan MisimoviÄ adding a record 20 assists. As a result of their title win, Wolfsburg qualified for the UEFA Champions League for the first time in their history.
In the 2009–10 season, Wolfsburg dismissed their newly appointed trainer Armin Veh after the winter break due to lack of success, with the club sitting tenth in the league. In the Champions League, they came third in their group, behind Manchester United and CSKA Moscow, losing the chance for a place in the competition's successive round. As a result, they qualified for the Round of 32 phase of the UEFA Europa League. They defeated Spanish side Villarreal 6–3 on aggregate and Russian champions Rubin Kazan 3–2. In the quarter-finals, however, they were beaten 3–1 by eventual finalists Fulham.
On 11 May 2010, the permanent head coach's position was filled by former England manager Steve McClaren. After having guided Twente to their first ever Dutch title, he was rewarded by becoming the first English coach to manage a Bundesliga side. On 7 February 2011, however, it was announced that McClaren had been sacked and that Pierre Littbarski would be taking over. Wolfsburg lost four times in five matches under him and they finally slipped into the relegation places.
On 18 March 2011, Wolfsburg confirmed that Felix Magath would return as head coach and sporting director, almost two years since he led them to the Bundesliga title and just two days after being fired from his position at Schalke 04. He signed a two-year contract with the club. Magath steered the club to safety, but though the club invested heavily, Magath could only achieve a mid-table finish in the following 2011–12 season. After only five points in eight matches (and no goals and points in the last four games) in the 2012–13 season, Magath left the club by mutual consent and was temporarily replaced by former Wolfsburg reserve team coach Lorenz-Günther Köstner. On 22 December 2012, the former 1. FC Nürnberg head coach Dieter Hecking was appointed as Wolfsburg's new head coach on a contract lasting until 2016.
On 2 February 2015, Wolfsburg purchased the German international forward André Schürrle for a fee of €30 million from Chelsea. With a reinforced squad, the club finished as runners-up in the 2014–15 Bundesliga behind Bayern Munich, thus automatically qualifying for the 2015–16 Champions League group stage. On 30 May, the team then won the 2015 DFB-Pokal Final 3–1 against Borussia Dortmund, the first German Cup victory in the history of the club.
On 1 August, to begin the 2015–16 season, Wolfsburg defeated the Bundesliga champions Bayern Munich in the 2015 DFL-Supercup on penalties. At the end of the 2015 summer transfer window, Wolfsburg sold the 2014–15 Footballer of the Year (Germany) Kevin De Bruyne to Manchester City for a reported Bundesliga record fee of €75 million.
The 2015–16 campaign saw Wolfsburg finish in eighth place. The Bundesliga match between Bayern and Wolfsburg saw an extraordinary five goals in nine minutes by Robert Lewandowski. In the Champions League, they reached the quarter-finals for the first time, where they faced Real Madrid and, despite a two-goal aggregate lead from the first match, were eliminated after losing 3–0 at the Santiago Bernabéu Stadium in Madrid.
In January 2017, Wolfsburg signed a letter of intent to partner the American side Chattanooga FC, which includes women's football, youth development and local social responsibility. The two teams mentioned the future possibility of international friendlies.
Wolfsburg struggled through the 2016–17 season, rotating through several managers and eventually finishing in 16th place in the Bundesliga with only 37 points, putting them in a playoff against Eintracht Braunschweig, which they won 2–0 on aggregate to remain in the top flight.
The 2017–18 season proved to be another disappointing season, in which they finished 16th place in the Bundesliga, putting them in a play-off against Holstein Kiel, a game that they won 4–1 on aggregate.
In the 2018–19 season, Wolfsburg finished 6th in the Bundesliga, thus automatically qualifying for the 2019–20 UEFA Europa League.
In the draw for the Europa League third qualifying round, Wolfsburg drew the Ukrainian Team Desna Chernihiv. Wolfsburg won 2–0 at the AOK Stadion, advancing to the play-off round. At the play-off round they lost 2–1 against AEK Athens.
On 24 May 2022, Niko KovaÄ was appointed as Wolfsburg's new head coach with contract lasting until June 2025.