Hybrid zones between Townsend's Warblers (Dendroica townsendi) and Hermit Warblers (D. occidentalis) in the Pacific Northwest are narrow relative to estimated dispersal distances and appear to be moving, with Townsend's replacing Hermits. We examined whether the habitat-transition and parental-fitness asymmetry models can explain why these zones are narrow and moving by comparing habitat variables associated with warbler territories in the Washington Cascades hybrid zone. Habitat variables did not differ among phenotypes, suggesting that the habitat-transition model cannot explain the narrow and dynamic nature of this hybrid zone. Habitat characteristics of Hermit Warbler territories did not differ inside versus outside the hybrid zone, also suggesting that this zone is not associated with a region of habitat transition. The lack of difference in habitat use could be the result of comparing variables that are not important to pairing success. However, warblers tended to select territories on west-southwest aspects. South aspects in the southern Washington Cascades are dominated by Douglas fir (Pseudotsuga menziesii) and true fir, which is a habitat selected by female warblers when choosing among territories and males. The parental-fitness asymmetry model does not necessarily make predictions about habitat use within the hybrid zone but predicts the superiority of one parental species over the other. However, if significant overlap occurs in habitat use or niche (as in these warblers), then competition between parental species is likely to occur. To determine whether these species compete, we mapped 12 warbler territories and monitored an additional 94 territories throughout the breeding season and found that all males with neighbors compete for and hold exclusive territories. Thus, the pattern of habitat use and territoriality is consistent with the parental-fitness asymmetry model.