Erosion has been reported as one of the top degradation processes that negatively affect agricultural soils. The study objective was to identify hydropedological factors controlling soil water dynamics in erosion-affected hillslope vineyard soils. The hydropedological study was conducted at identically-managed Jastrebarsko (location I), and Jazbina (II) and (III) sites with Stagnosol soils. Soil Hydraulic Properties (SHP) were estimated on intact soil cores using Evaporation and WP4C methods; soil hydraulic functions were fitted using HYPROP-FIT software. For Apg and Bg/Btg horizons, uni- and bimodal soil hydraulic models could be well fitted to data; although, the bimodal model performed better in particular cases where data indicated non-uniform pore size distribution. With these SHP estimations, a one-year (2020) water flow scenario was simulated using HYDRUS-1D to compare water balance results obtained with uni- and bimodal hydraulic functions. Simulation results revealed relatively similar flux distribution at each hillslope position between the water balance components infiltration, surface runoff, and drainage. However, at the bottom profile at Jastrebarsko, bimodality of the hydraulic functions led to increased drainage. Soil water storage was reduced, and the vertical movement increased due to modified soil water retention curve shapes. Adequate parameterization of SHP is required to capture the hydropedological response of heterogenous erosion-affected soil systems.