Seven-nanometer cobalt nanocrystals are synthesized by colloidal chemistry. Gentle annealing induces a direct structural transition from a low crystalline state to the hexagonal close packed (hcp) phase without changing the size, size distribution, and the lauric acid passivating layer. The hcp structured nanocrystals can be easily redispersed in solvent for further application and processing. We found that the magnetization at saturation and the magnetic anisotropy are strongly modified through the annealing process. Monolayer self-assembly of the hcp cobalt nanocrystals is obtained, and due to the dipolar interaction, ferromagnetic behavior close to room temperature has been observed. This work demonstrates a novel approach for obtaining small size hcp structured cobalt magnetic nanocrystals for many technological applications.