This study investigates the effect of Interlayer Dwell Time (IDT) on the thermal behavior of the Wire-Laser Directed Energy Deposition (WLDED) process. A two-dimensional transient thermal model was developed in MATLAB, incorporating temperature-dependent material properties, a moving Gaussian heat source, and melting–solidification phase change to simulate sequential layer deposition. The model was calibrated for thin-walled geometries, numerically validated using ANSYS, and experimentally validated with literature data. Using the validated model, twenty-seven cases were simulated to examine the combined influence of IDT, part length, and layer thickness on melt-pool dimensions and layer-wise temperature distribution. The results show that increasing IDT reduces melt-pool depth and length by limiting heat accumulation, with the magnitude of this effect depending strongly on part length and layer thickness. Shorter parts and thicker layers exhibit the highest sensitivity to IDT variations. Additionally, the Thermal Stability Factor (TSF) is introduced, a dimensionless index that effectively identifies heat-accumulation phenomena and indicates thermal instabilities. Overall, the findings enhance the understanding of the impact of IDT in the thermal profile of WLDED and demonstrate that optimized IDT selection can stabilize melt-pool geometry and reduce thermal buildup, supporting future adaptive IDT strategies in wire-based metal additive manufacturing.