Provides details of how exposure to flood events impacts on residential property markets and buyer behaviour associated with flood-prone property and offers insights into the implications and possible ramifications of flooding on the construction, finance and insurance of residential property in flood-affected areas. Uses surveys of English and Welsh property professionals and flood-affected residential property in Sydney, Australia to conclude that there is a correlation between the severity of flooding and a reduction in residential property values. Tables cover: England and Wales flood incidence 2000-01; the extent of flood defences; market sentiment and river proximity; residential property flooding insurance and finance; and the impact of 2000-01 flooding on residential property values. Figures show a comparison of flood free and flood liable residential property 1984-2000 and a residential property capital return index 1984-2000. References and further reading.