Motion compensation and prediction using deformable block matching algorithm (DBMA) is discussed.This paper proposes a nodal search-based DBMA (NS-DBMA) for the estimation of nodal displacement.The sub-pixel accuracy prediction and two-mode hybrid method are further proposed.Experimental results show that the NS-DBMA have about 2dB better than exhaustive block matching algorithm (EBMA).NS-DBMA has only half computation amount of the gradient-based search algorithm (GB-DBMA) but gets better subjective and objective quality