'83 liberator merc 260

[johnnyman42]

please forgive me im new at this but im having trouble hoping i could get pointed in the right direction I had boat out and im wide open and i had the trim up a little went into a sharp turn and lost all power so im thinking oh no i hit some mud or something but not sure so i through it in neutral and checked to see if prop was still there it was so i trim down for take off and drop in gear and nothing the prop does not move I know your thinking like i was the hub but then i look in the engine compartmant and im taking on water from the transom when i get home i ran a hose by the transom note that the engine was not running i was just squirting it around to see where it was leaking for sure on the back of the out drive and i still could see water coming through the rubber hoses i think there called bellows any way then i checked the oil and milk shake please anyone with any ideas that willn point me in the right direction it would be much appreciated

[stimulous check]

checked the oil and milk shake
You're talking about the gear lube in the drive, not the oil in the engine, right?

You need to pull the outdrive off and closely inspect the bellows and ujoints.

I've heard of people breaking gimbal rings and the ujoints breaking through the bellows - if you were trimmed way up and now the bellows have a hole... I would have though you would really hear that though.