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Wagner scored 24 points, Charles Matthews added 17 and the Wolverines rallied to beat the Loyola-Chicago Ramblers 69-57 in the Final Four.
The third-seeded Wolverines (33-7) will take a 14-game winning streak, the longest in the nation, in their first national championship game appearance since 2013, and second under coach Jon Beilein.
Wagner, playing in front of his parents who made the trip from Germany, had 15 rebounds and was 10 for 16 from the field. He became the third player in the last 40 years with a 20 and 15 game in a Final Four game, joining Hakeem Olajuwon of Houston in 1983 (then known as Akeem) and Larry Bird of Indiana State in 1979.
Villanova made it to the final by sinking a Final Four-record 18 3-pointers while cementing itself as the most-prolific 3-point-shooting team in college history in a 95-79 runaway over Kansas. Ukrainian Sviatoslav Mykhailiuk scored 10 points for the losing side.