The moisture data measured in several different wall panel configurations at the Atlantic Canada Test Hut Project was analyzed in order to establish a relationship between the panel drying rate and the panel configuration. The permeability of the panel assemblies was found to be a key factor in determining the drying rates of the panels. The panels with higher permeability dried faster than the panels with lower permeability. A dynamic wall moisture simulation computer program, WALLDRY, developed by the Canada Mortgage and Housing Corporation (CMHC) was used to simulate the performance of the panels tested at the Atlantic Canada Hut Project. The results obtained from the WALLDRY simulations were compared with the moisture data measured for the corresponding panel configurations at the test hut project. In about half the panel simulations, WALLDRY adequately predicted the moisture content profiles, however, a number of weaknesses in the model were recognized and modifications to WALLDRY were suggested.