I answer my own question since in the mean time I received the answers on the Forum:
Thorax (thank you!):
In World Machine, making your maximum elevation is a multiple of 512 makes calculating the math of your landscapes z axis much easier.
The default maximum elevation of a landscape in UE4 is 512meters, and it is created 100 cm up
As for the X and Y. Since you are using 505x505 tiles, that’s 505meters x 100 = 50500 or 50.5km.
Then on your tiled build options page, select the tile resolution 505 as you said already.
50 tiles per side
100% blending
Share edge vertices should be ticked
DON’T FLIP ON THE Y AXIS.
Flipping your terrain on the Y axis does literally that and is completely useless. Yes, it will import your landscape in one piece, but it will be flipped. No amount of flipping nodes will correct this. You use flip nodes and flipping on Y axis option and you are back to square one. A landscape imported that doesn’t line up.
I don’t know if you are using the pro version but I assume you are, I also assume you are doing a tiled build
The problem with importing to unreal is that it reads the file names wrong. In particular the Y coordinates in the file name. So they need to be reversed.
Say you have 4 tiles across, you would have.
Exterior_x00_y00
Exterior_x00_y01
Exterior_x00_y02
Exterior_x00_y03
The Y coords need reversing, like so.
Exterior_x00_y00 - Exterior_x00_y03
Exterior_x00_y01 - Exterior_x00_y02
Exterior_x00_y02 - Exterior_x00_y01
Exterior_x00_y03 - Exterior_x00_y00
This needs to be done for your height files as well as your texture height/weight maps.
Then when importing, you have world composition ON. Then in the levels panel using “Import Tiled Landscape”
Like so http://i.imgur.com/mafCvKz.png
Then on the “Import Tiled Landscape” Dialogue. http://i.imgur.com/nKQ4rAC.png
Set your tile coordinates offset to half of the total cells across in each direction. So in your case it would be minus 50 in both directions. This will shift all the landscape tiles in that direction so your world will be created centred in the world composition tool.
Make sure to set your scale and preferably a material instance on your main landscape material here.
ddvlost (Thank you!):
In 4.9 tiled landscape import will have an option (enabled by default) to reverse tile Y coordinate.
When exporting from World Machine:
Share edge vertices should be ticked
DON’T FLIP ON THE Y AXIS.
Right now, unfortunately you will need to do it manually as Thorax said.