[SamSteele]

Since you are on a budget, my recommendation would be to:

1) Pull your prop and check for any fishing line around the shaft. If there is line there, chances are you have a blown shaft seal as the line puts pressure on it, causing to to deform and water gets in.

2) Drain your leg, replace the fluids and be sure to replace the seals/crush washers on your drain and vent plugs. Run the motor fully immersed in water for a while (lake is the easiest but could be a tank as well). After running it, check if your oil is milky again. If it’s not, your drain/vent plug seals were likely allowing water in. If it is, you either have a blown seal or a crack in your leg housing.

SS