The 25-year-old England international underwent a medical on Wednesday and the transfer, reported to be worth between £16m to £20m, was finalised on Thursday.
Villa secured Young from Watford in January 2007 and he went on to make 157 Barclays Premier League appearances, scoring 30 goals
"Ashley has made a terrific contribution for Villa over the past four-and-a-half seasons and everyone at the club wishes him the best for the future," said Villa manager Alex McLeish.
"He has become an important player in the England team during that time and I'm sure he will be looking forward to this new challenge."
He becomes Sir Alex Ferguson's second signing of the summer after the capture of England Under-21 international Phil Jones from Blackburn for £16.5m.
Follow Aston Villa in the run up to the Barclays Asia Trophy in Hong Kong this July on the official tournament pagewww.facebook.com/BarclaysAsiaTrophy.
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