Overlooking the Hauraki Gulf, nestled among the trees, is a small house with a design that pays homage to New Zealand's own Christmas tree.

The picturesque, hillside property with views out to Kawau Island and Great Barrier is going under the hammer on November 30.

Images of the compact house, that has a rating valuation of $1.25 million, show it seemingly floating out from the 636sq m of sloping land in Stanmore Bay.

The house is nestled in the native bush on a hill in Stanmore Bay. Photo: Bayleys Real Estate
The house is nestled in the native bush on a hill in Stanmore Bay. Photo: Bayleys Real Estate

Inspiration for the property, some 30km to the north of Auckland on the Whangaparaoa Peninsula, was the floating pohutukawa that reach out over the coastal cliffs.

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The home's innovative design has seen it nominated for some architectural awards and in 2014 it won the people's choice award at the Architectural Designers New Zealand Awards and the national award for residential property under 150sq m.

Designed by David Maurice, managing partner at LTD Architectural Design Studio, the slope of the land at 25c Duncansby Road gave rise to some challenges.

The house complete with its expansive views of the harbour will be up for auction on November 30. Photo: Bayleys Real Estate
The house complete with its expansive views of the harbour will be up for auction on November 30. Photo: Bayleys Real Estate

"The home is really unique, suspended above the contour allowing sun and rain to reach beneath and in time vegetation will grow below and around the structure, re-stabilising the site."

Bayleys agent Sue Donoghue, who is marketing the property, said the ambitious build had led to a small space which was "functional, beautiful and enduring".

"Spanning a single level, the freehold home offers a generous three bedrooms, two bathrooms and double garaging with extra parking.

"The phenomenal full-length windows facing northeast towards the Gulf gives the very special vista of coastal Auckland."

Its current owners Anne and Neville Graham bought the property in May 2014, for $1.27m.

QV.co.nz showed the median home value in Stanmore Bay was $849,000. Across the 28 sales in the suburb over the past three months properties have on average sold at 40 per cent above the rating valuation.

The big windows give stellar views of the Hauraki Gulf. Photo: Bayleys Real Estate
The big windows give stellar views of the Hauraki Gulf. Photo: Bayleys Real Estate

After buying the property three years ago the Grahams spent three-and-a-half months with local landscapers to shape the native brush.

Neville Graham said the idea was to have the home float lightly amongst the native bush.

"In time, native plants will grow up around the home creating the feeling of living in the treetops, while enjoying the ever-changing view out to Kawau Island and Great Barrier along to the tip of Coromandel."

Anne Graham said the house would be the ideal retreat for anyone with a love of nature.

"It's been a sanctuary for our family, with a short stroll down the path to the fishing rock below to go kayaking or fishing and beautiful Stanmore Bay beach which is a few minutes' walk away."