In this work, microstructural and mechanical studies investigated the effect of adding 0.12% by weight of vanadium on the properties of Delta TRIP steel. Delta ferrite phase was observed in all annealing temperatures and samples, and bainitic transformation at 350°C for 6, 10, and 15 minutes led to stabilizing the austenite phase and forming the ferritic bainite phase after heat treatment. The presence of vanadium resulted in the formation of MC precipitates, reducing the retained austenite percentage from 14% to 6% by weight in the heat-treated sample. The lower austenite content in vanadium-containing steel weakened the TRIP effect on strengthening. However, the presence of MC precipitates compensated for the reduced strengthening from the TRIP effect through precipitation strengthening and grain refinement of the delta ferrite phase. The resulting properties (UTS: 866 MPa and El: 41.3%) produced a ductility index of 35 GPa%, which is better than the mechanical properties (UTS: 857 MPa and El: 37.4%) and ductility index (32 GPa%) of vanadium-free steel, making this steel a suitable candidate for automotive industry applications. Microstructural studies showed that the addition of vanadium reduced the grain size of the delta ferrite phase, and the austenite phase predominantly formed around the ferritic bainite phase and delta ferrite grain boundaries, transforming into martensite during tensile testing via the TRIP process.