This works, but if you have a lot of nodes, the looping that this does may not be good. I may be able to improve it but here's what I have so far.
VB Code:
Private Sub Treeview1_MouseMove(Button As Integer, Shift As Integer, x As Single, y As Single)
Dim MouseOverNode As MSComctlLib.Node
Dim lngNodes As Long
On Error Resume Next
For lngNodes = 0 To tvwDemo.Nodes.Count
Treeview1.Nodes(lngNodes).BackColor = vbWhite
Next
Set MouseOverNode = Treeview1.HitTest(x, y)
MouseOverNode.BackColor = vbBlue
End Sub