The aim of cell wall modification is to keep wood moisture content (MC) below favorable conditions for decay organisms. However, thermally modified, furfurylated, and acetylated woods partly show higher MCs than untreated wood in outdoor exposure. The open question is to which extent decay is influenced by the presence of liquid water in cell lumens. The present paper contributes to this topic and reports on physiological threshold values for wood decay fungi with respect to modified wood. In total, 4200 specimens made from acetylated, furfurylated, and thermally modified beech wood (Fagus sylvatica L.) and Scots pine sapwood (sW) (Pinus sylvestris L.) were exposed to Coniophora puteana and Trametes versicolor. Piles consisting of 50 small specimens were incubated above malt agar in Erlenmeyer flasks for 16 weeks. In general, pile upward mass loss (ML) and MC decreased. Threshold values for fungal growth and decay (ML≥2%) were determined. In summary, the minimum MC for fungal decay was slightly below fiber saturation point of the majority of the untreated and differently modified materials. Surprisingly, T. versicolor was able to degrade untreated beech wood at a minimum of 15% MC, and growth was possible at 13% MC. By contrast, untreated pine sW was not decayed by C. puteana at less than 29% MC.