Looks like I burnt up the gears in my 4.3l OMC Cobra - turns out the drive oil leaked. Made a knocking noise and then lost power to the drive. I took the top off and can see the gears are chewed. My questions are:
1. Does the oil circulate between upper and lower unit? Is there a chance the lower unit is damaged too?
2. If it's just the upper unit- how hard is it to rebuild? Looks like I can get a parts kit off ebay for about $400
3. What's the best (cheapest) option? Would it be totally unsafe to buy a used outdrive?
Thanks guys