Re: Mercruiser 4 cyl water leaking from exhaust manifold
That's what happened with me, the previous boat I had owned slowly dripped water onto the engine block from the manifold seal area.
They pulled the manifold off and found a nice long rusted up crack in the engine block, leaking water. This wasn't found until 3 years after I had initially bought the boat, and yes I inspected it previously for leaks and it didn't leak, or it did it slow enough for it to miss noticing.
From the corrosion rate of how badly it would chip, I say it probably was that way the entire time I owned it and before that. I believe if I paid attention to the rust marks on the freeze plugs, I would have caught this.
That's the first thing I looked for on the current boat that I own, no signs of freeze plugs being pushed out, replaced/tampered with or painted over, and no leaks.
Start shopping for an engine block replacement, that's the only solution to this type of damage. It's just about as damaging as throwing a piston rod in the engine.