Re: 1961 Mercury-Kiekhaefer
Rear carrier & propshaft come out, with the reverse gear. Then remove the bolt from the end of the driveshaft. Remove the waterpump housing. Then use the same technique to remove the driveshaft as you used to remove the propshaft. Clamp the shaft in the vice and drive the l/u housing away from the shaft. Use a block of wood against the housing so you don't mar it up. The bearings will be visible inside the housing. I usually use a hardwood dowel of similar diameter to the bearing (slightly smaller) and drive the bearing into the housing 'til it pops into the gear area. Install new bearing from the top, using the dowel to push the bearing into place. Heating the housing with a propane torch may help it go in a little easier. Numbers side up on the bearing...