The 19-year-old, who is regarded as one of the brightest talents in Europe, made his debut for the German side aged 17 in 2011.
"If he carries on the way he is going, he will play a leading role with us," Wolfsburg's director of sport Klaus Allofs told reporters at a press conference.
"He has developed really well, but is far from reaching his peak. Maximilian has shown that he has a great deal of potential and that he can be an important element of our team in the near future."
A host of European clubs were believed to be monitoring proceedings.