XBAP is the regular .NET framework exposed (as WPF/XAML) in the browser; Silverlight is a much reduced framework, focusing on things like UI/media/etc. But with the advantage of cross-patform support, and (with the next version) allowing the client to take it out-of-browser.
The XAML is similar, but is not a strict subset/superset; so you can't always translate "as is" in either direction; it will also be easier to go Silverlight-to-WPF/XBAP
With Silverlight 3 on the horizon, I'm not sure I'd bother looking too hard at XBAP myself... if I wanted the full .NET, I'd go WPF/ClickOnce.
And I'm pretty sure Silverlight doesn't use presentation host...