React Hook recipe from https://usehooks.com. Demo: https://codesandbox.io/s/01w2zmj010

use-hover-example.js

import { useRef, useState, useEffect } from 'react';

// Usage
function App() {
  const [hoverRef, isHovered] = useHover();

  return (
    <div ref={hoverRef}>
      {isHovered ? '😁' : '☹️'}
    </div>
  );
}

// Hook
function useHover() {
  const [value, setValue] = useState(false);

  const ref = useRef(null);

  const handleMouseOver = () => setValue(true);
  const handleMouseOut = () => setValue(false);

  useEffect(
    () => {
      const node = ref.current;
      if (node) {
        node.addEventListener('mouseover', handleMouseOver);
        node.addEventListener('mouseout', handleMouseOut);

        return () => {
          node.removeEventListener('mouseover', handleMouseOver);
          node.removeEventListener('mouseout', handleMouseOut);
        };
      }
    },
    [ref.current] // Recall only if ref changes
  );

  return [ref, value];
}

Hey @gragland
Current implementation re-creates handleMouseOver and handleMouseOut callbacks on every state update. There is a fix for that: https://gist.github.com/mbelsky/909c7a6b9bde3289e91a6448ae1a74b3/revisions#diff-0dd251e6c939d6c6f3846a366eade1f2

Hello everyone!
I've made a Typescript version:

import { useEffect, useState, useRef } from 'react';


type THook<T extends HTMLElement> = [
  React.RefObject<T>,
  boolean,
];

export const useMouseHover = <T extends HTMLElement>(): THook<T> => {
  const [hovered, setHovered] = useState(false);
  const ref = useRef<T>(null);

  useEffect(() => {
    const handleMouseOver = (): void => setHovered(true);
    const handleMouseOut = (): void => setHovered(false);
    const node = ref && ref.current;

    if (node) {
      node.addEventListener('mouseover', handleMouseOver);
      node.addEventListener('mouseout', handleMouseOut);
      return () => {
        node.removeEventListener('mouseover', handleMouseOver);
        node.removeEventListener('mouseout', handleMouseOut);
      };
    }
  }, [ref]);

  return [ref, hovered];
};

Example of usage:

const [buttonRef, buttonHovered] = useMouseHover<HTMLButtonElement>();
const color = buttonHovered ? 'red' : 'blue';

return (
  <button
    ref={buttonRef}
    style={{ color }}
  >
    click me
  </button>
);

React Hook React.useEffect has an unnecessary dependency: 'ref.current'. Either exclude it or remove the dependency array. Mutable values like 'ref.current' aren't valid dependencies because mutating them doesn't re-render the component. eslint (react-hooks/exhaustive-deps)

    [ref.current] // Recall only if ref changes

could be changed to

    [ref] // Recall only if ref changes

?

@forresto this change won't fix that issue. Try @jjenzz's solution

I had an issue with the last event being fired being a mouseover event. I switched the mouseover to mouseenter and mouseout to mouseleave which solved it. Any drawbacks to this method? It also limits the amount of events firing as it doesn't fire on child elements.

I don't really think you need the useRef hook.
you could just use the useState hook and the onMouseEnter and onMouseLeave as props on the component.

what do you think?

import React,{useState,useRef,useEffect} from "react"

export default function Image({className,image}){
    const [ishover, setIsHover] = useState(false)
    console.log(ishover)  
    
    return(
        <div 
            className={`${className} image-container`}
            onMouseEnter={() => setIsHover(true)}
            onMouseLeave={() => setIsHover(false)}
        >
            <img src={image.url} className="image-grid"/>    
        </div>
    )
}