What is the problem you are seeing?
I tried the following sample and it seems to work as expected: https://stackoverflow.com/questions/4902039/difference-between-selecteditem-selectedvalue-and-selectedvaluepath

Hi Sergio,
the problem is that the SelectedValue binding works only one way to source and not two way (I explicitly set it to be TwoWay).
I.e. it cannot convert SelectedValue back to SelectedItem. It's simply not implemented or doesn't work.
But on selecting item in combobox it indeed updates SelectedValue property, so the problem is only with the way SelectedValue->SelectedItem.

For example, changing the property in my ViewModel (to which Combobox.SelectedValue is bound) doesn't change the selected item in control (and I'm sure I'm calling NotifyPropertyChanged for this property).
Also, right after loading the ComboBox control displays nothing (i.e. no item is selected) when it should take the SelectedValue via databinding and select according item from the ItemsSource.

Please let me know if you need a sample for that.

Ok, I understand now the problem.
There is no need for the sample, I was able to reproduce it here, thanks.

Hi guys,
any updates regarding this issue?

Ok, don't worry :-). I was able to workaround this by binding to SelectedItem and using a custom converter. 100% hack but works perfectly!
Regards!

Sorry, we still didn't have this issue fixed. Hopefully you have a workaround.

Anyway, we will try to solve it for the next release.

Hi,
I hope we will see the fix planned for the next patch release...
It's a really painful bug as every time we need to use a workaround.

I increased priority to high and will fix it for the next minor release.

Hi guys,
I wonder if the issue is already fixed or maybe it's trivial to fix now.
Thanks!

We fixed this for 3.0.2 version.