diff --git a/include/sway/commands.h b/include/sway/commands.h
index 64f707f4..f7fafb96 100644
--- a/include/sway/commands.h
+++ b/include/sway/commands.h
@@ -125,6 +125,7 @@ sway_cmd cmd_floating_modifier;
 sway_cmd cmd_floating_scroll;
 sway_cmd cmd_focus;
 sway_cmd cmd_focus_follows_mouse;
+sway_cmd cmd_raise_floating;
 sway_cmd cmd_focus_on_window_activation;
 sway_cmd cmd_focus_wrapping;
 sway_cmd cmd_font;
diff --git a/include/sway/config.h b/include/sway/config.h
index 98a18b76..02ace979 100644
--- a/include/sway/config.h
+++ b/include/sway/config.h
@@ -359,6 +359,7 @@ struct sway_config {
 
 	// Flags
 	bool focus_follows_mouse;
+	bool raise_floating;
 	bool mouse_warping;
 	enum focus_wrapping_mode focus_wrapping;
 	bool active;
diff --git a/include/sway/input/cursor.h b/include/sway/input/cursor.h
index 7ec45120..4d47ab42 100644
--- a/include/sway/input/cursor.h
+++ b/include/sway/input/cursor.h
@@ -10,6 +10,7 @@ struct sway_cursor {
 	struct wlr_cursor *cursor;
 	struct {
 		double x, y;
+		struct sway_node *node;
 	} previous;
 	struct wlr_xcursor_manager *xcursor_manager;
 
diff --git a/sway/commands.c b/sway/commands.c
index 72db8ab9..5dd27f7e 100644
--- a/sway/commands.c
+++ b/sway/commands.c
@@ -107,6 +107,7 @@ static struct cmd_handler handlers[] = {
 	{ "new_window", cmd_default_border },
 	{ "no_focus", cmd_no_focus },
 	{ "output", cmd_output },
+	{ "raise_floating", cmd_raise_floating },
 	{ "seat", cmd_seat },
 	{ "set", cmd_set },
 	{ "show_marks", cmd_show_marks },
diff --git a/sway/commands/raise_floating.c b/sway/commands/raise_floating.c
new file mode 100644
index 00000000..930299a1
--- /dev/null
+++ b/sway/commands/raise_floating.c
@@ -0,0 +1,14 @@
+#include <string.h>
+#include <strings.h>
+#include "sway/commands.h"
+#include "util.h"
+
+struct cmd_results *cmd_raise_floating(int argc, char **argv) {
+	struct cmd_results *error = NULL;
+	if ((error = checkarg(argc, "raise_floating", EXPECTED_EQUAL_TO, 1))) {
+		return error;
+	}
+	config->raise_floating =
+		parse_boolean(argv[0], config->raise_floating);
+	return cmd_results_new(CMD_SUCCESS, NULL, NULL);
+}
diff --git a/sway/config.c b/sway/config.c
index 048b57de..b56c4f71 100644
--- a/sway/config.c
+++ b/sway/config.c
@@ -221,6 +221,7 @@ static void config_defaults(struct sway_config *config) {
 
 	// Flags
 	config->focus_follows_mouse = true;
+	config->raise_floating = true;
 	config->mouse_warping = true;
 	config->focus_wrapping = WRAP_YES;
 	config->validating = false;
diff --git a/sway/input/cursor.c b/sway/input/cursor.c
index afad6f6f..3c62acb9 100644
--- a/sway/input/cursor.c
+++ b/sway/input/cursor.c
@@ -567,15 +567,15 @@ void cursor_send_pointer_motion(struct sway_cursor *cursor, uint32_t time_msec,
 	struct wlr_surface *surface = NULL;
 	double sx, sy;
 
-	// Find the node beneath the pointer's previous position
-	struct sway_node *prev_node = node_at_coords(seat,
-			cursor->previous.x, cursor->previous.y, &surface, &sx, &sy);
+	struct sway_node *prev_node = cursor->previous.node;
+	struct sway_node *node = node_at_coords(seat,
+			cursor->cursor->x, cursor->cursor->y, &surface, &sx, &sy);
+
 	// Update the stored previous position
 	cursor->previous.x = cursor->cursor->x;
 	cursor->previous.y = cursor->cursor->y;
+	cursor->previous.node = node;
 
-	struct sway_node *node = node_at_coords(seat,
-			cursor->cursor->x, cursor->cursor->y, &surface, &sx, &sy);
 	if (node && config->focus_follows_mouse && allow_refocusing) {
 		struct sway_node *focus = seat_get_focus(seat);
 		if (focus && node->type == N_WORKSPACE) {
diff --git a/sway/input/seat.c b/sway/input/seat.c
index 69bee47e..15c56a43 100644
--- a/sway/input/seat.c
+++ b/sway/input/seat.c
@@ -606,6 +606,18 @@ static int handle_urgent_timeout(void *data) {
 	return 0;
 }
 
+static void container_raise_floating(struct sway_container *con) {
+	// Bring container to front by putting it at the end of the floating list.
+	struct sway_container *floater = con;
+	while (floater->parent) {
+		floater = floater->parent;
+	}
+	if (container_is_floating(floater)) {
+		list_move_to_end(floater->workspace->floating, floater);
+		node_set_dirty(&floater->workspace->node);
+	}
+}
+
 void seat_set_focus_warp(struct sway_seat *seat, struct sway_node *node,
 		bool warp, bool notify) {
 	if (seat->focused_layer) {
@@ -733,16 +745,8 @@ void seat_set_focus_warp(struct sway_seat *seat, struct sway_node *node,
 	}
 
 	// If we've focused a floating container, bring it to the front.
-	// We do this by putting it at the end of the floating list.
-	if (container) {
-		struct sway_container *floater = container;
-		while (floater->parent) {
-			floater = floater->parent;
-		}
-		if (container_is_floating(floater)) {
-			list_move_to_end(floater->workspace->floating, floater);
-			node_set_dirty(&floater->workspace->node);
-		}
+	if (container && config->raise_floating) {
+		container_raise_floating(container);
 	}
 
 	if (last_focus) {
@@ -1017,6 +1021,11 @@ void seat_begin_down(struct sway_seat *seat, struct sway_container *con,
 	seat->op_ref_con_lx = sx;
 	seat->op_ref_con_ly = sy;
 	seat->op_moved = false;
+
+	// In case the container was not raised by gaining focus, raise on click
+	if (con && !config->raise_floating) {
+		container_raise_floating(con);
+	}
 }
 
 void seat_begin_move_floating(struct sway_seat *seat,
diff --git a/sway/meson.build b/sway/meson.build
index 00ebcb40..8ab28869 100644
--- a/sway/meson.build
+++ b/sway/meson.build
@@ -48,6 +48,7 @@ sway_sources = files(
 	'commands/floating_modifier.c',
 	'commands/focus.c',
 	'commands/focus_follows_mouse.c',
+	'commands/raise_floating.c',
 	'commands/focus_on_window_activation.c',
 	'commands/focus_wrapping.c',
 	'commands/font.c',
diff --git a/sway/sway.5.scd b/sway/sway.5.scd
index 3202d517..3fda6cef 100644
--- a/sway/sway.5.scd
+++ b/sway/sway.5.scd
@@ -441,6 +441,11 @@ The default colors are:
 	devices. A list of input device names may be obtained via *swaymsg -t
 	get\_inputs*.
 
+*raise\_floating* yes|no
+	Controls the behaviour of floating windows. A _yes_ (the default) will
+	raise windows on gaining focus. A _no_ will only raise floating windows
+	by clicking anywhere in the window.
+
 *seat* <seat> <seat-subcommands...>
 	For details on seat subcommands, see *sway-input*(5).
 
diff --git a/sway/tree/container.c b/sway/tree/container.c
index a069b177..9db7aed1 100644
--- a/sway/tree/container.c
+++ b/sway/tree/container.c
@@ -151,10 +151,10 @@ struct sway_container *container_find_child(struct sway_container *container,
 	return NULL;
 }
 
-static void surface_at_view(struct sway_container *con, double lx, double ly,
+static struct sway_container *surface_at_view(struct sway_container *con, double lx, double ly,
 		struct wlr_surface **surface, double *sx, double *sy) {
 	if (!sway_assert(con->view, "Expected a view")) {
-		return;
+		return NULL;
 	}
 	struct sway_view *view = con->view;
 	double view_sx = lx - view->x + view->geometry.x;
@@ -184,7 +184,9 @@ static void surface_at_view(struct sway_container *con, double lx, double ly,
 		*sx = _sx;
 		*sy = _sy;
 		*surface = _surface;
+		return con;
 	}
+	return NULL;
 }
 
 /**
@@ -355,37 +357,31 @@ struct sway_container *container_at(struct sway_workspace *workspace,
 		double lx, double ly,
 		struct wlr_surface **surface, double *sx, double *sy) {
 	struct sway_container *c;
+
 	// Focused view's popups
 	struct sway_seat *seat = input_manager_current_seat(input_manager);
 	struct sway_container *focus = seat_get_focused_container(seat);
 	bool is_floating = focus && container_is_floating_or_child(focus);
 	// Focused view's popups
 	if (focus && focus->view) {
-		surface_at_view(focus, lx, ly, surface, sx, sy);
-		if (*surface && surface_is_popup(*surface)) {
-			return focus;
+		c = surface_at_view(focus, lx, ly, surface, sx, sy);
+		if (c && surface_is_popup(*surface)) {
+			return c;
 		}
 		*surface = NULL;
 	}
-	// If focused is floating, focused view's non-popups
-	if (focus && focus->view && is_floating) {
-		surface_at_view(focus, lx, ly, surface, sx, sy);
-		if (*surface) {
-			return focus;
+	// Cast a ray to handle floating windows
+	for (int i = workspace->floating->length - 1; i >= 0; --i) {
+		struct sway_container *cn = workspace->floating->items[i];
+		if (cn->view && (c = surface_at_view(cn, lx, ly, surface, sx, sy))) {
+			return c;
 		}
-		*surface = NULL;
-	}
-	// Floating (non-focused)
-	if ((c = floating_container_at(lx, ly, surface, sx, sy))) {
-		return c;
 	}
 	// If focused is tiling, focused view's non-popups
 	if (focus && focus->view && !is_floating) {
-		surface_at_view(focus, lx, ly, surface, sx, sy);
-		if (*surface) {
-			return focus;
+		if ((c = surface_at_view(focus, lx, ly, surface, sx, sy))) {
+			return c;
 		}
-		*surface = NULL;
 	}
 	// Tiling (non-focused)
 	if ((c = tiling_container_at(&workspace->node, lx, ly, surface, sx, sy))) {