loosen the nut and raise and lower the drive again If no more noise remove and lubricate the bushing and retighten
If it still make a crunching noise then suspect a rusting u joint
For anyone else with these issues I an redeveloping the drive res system that
that merc offered and is no longer available Uses a different fitting, a trim pump hose and the same res container.
It was running with low/no gear oil. shift into fwd, remove the drive and I suspect you will find the oil that was lost .You should have also seen gear oil in the bilge area.This is why deive removal is suggested at end of season to inspect for gear oil or water in the bellow. I remove mine...
Save your self some aggravation and cut the oil hose first before trying to remove the housing. Failure to cut it first WILL result in breaking the nipple off the transom end,Get new hose 2 inches longer and some Power-Tune and special hose pliers . Install the hose on the housing end ,install...