Transfer Case Replacement Cost

Let’s see, at a guess, here’s a good answer, too much! Let’s see what the repair involves. At a very global view, you are looking at a repair that involves dismounting the output shaft from the transmission which could easily involve dropping part of the transmission to access the transmission end and dismounting the output shaft from the differential. Then, your mechanic will have to:
1. Open up the differential housing
2. Remove the differential seals
3. Remove the output shafts and output shaft bearings
4. Remove the output shaft bearing seals
5. Drop the differential mechanicals
6. Check for wear or damage
7. Replace worn or damaged parts
8. Replace the repaired differential internals
9. Install new outer bearing seals
10. Install the bearings
11. Install inner bearing seals
12. Reinstall the output shafts
13. Reinstalling the differential cover and seals
14. Reinstall the transmission output shaft
15. Change any transmission seals that need replacement
16. Reinsert the output transmission shaft
17. Closing up the tranny

This is one of those repairs where the costs can add up quite quickly. Depending on the extent of damage and the parts needed, it might run any where from $950 to $1,700 to do the job correctly.