if there are any problems or things you don't understand, please post a comment ill help you out

remember to save your normal as a 32 bit tga.

you can rename your package if needs be. create the meterial from the menu that appears after right clicking. "new material".
everything other than the bump offset is a texture sample located in the bottom part of the list. once you have done this your material is created and all you need to do is assign it to an object or wall.
2 comments:
The parallax map seems to create a blurry kind of distortion that you don't get with normal maps, is there a way to stop this?. The parallax mapping is very cool, but i don't think we should use it unless we sort this distortion out.
yes you have to use a less detailed normal map and effectively use a height map because a desaturated diffuse image makes for inconsistent height. it kinda struggles to make the effect with tangents of light everywhere. also you can change the bump offset ratio to slightly lower. this minimizes and in many occasions stops the bluryness. the last image of the roof tiling shows this ot great effect.
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