Hydrogenated nanocrystalline silicon (nc-Si:H) films produced by layer-by-layer (LBL) deposition technique were studied. The films were grown at different hydrogen to silane flow-rate ratio on crystal silicon (111) substrate. The properties of films were investigated by X-ray diffraction (XRD), micro-Raman scattering spectroscopy, Fourier transform infrared (FTIR) spectroscopy, optical transmission spectroscopy, atomic force microscopy (AFM) and field emission scanning electron microscopy (FESEM). These properties showed dependence on the hydrogen dilution of silane. Appearance of XRD peaks at diffraction angles of 28.4 o and 56.1 o which correspond to silicon orientation of (111) and (311) respectively, were observed in all films indicating evidence of crystallinity in the films. Raman scattering results indicated that crystallinity in the films was due to the presence of nanocrystallites embedded in an amorphous matrix. The energy gap of the films showed dependence on the hydrogen content in the films. Increase in nanocrystallite size resulted in increase in disorder at low hydrogen dilution films but films remain homogenous with increase in nanocrystallite size for the high hydrogen dilution films.