1988 Capri 1950 Transom Leaking-gctid816670

[rookiepsu]

I'm trying to determine what the issue is with my transom. If feels and looks solid though I'm certainly no expert and I haven't drilled any test holes yet. Before I do that, I was hoping that someone could take a look at the following photos and videos and let me know what they think. Could it just be the transom seal or is this indicative of something else? As soon as the water crests the bottom lip of the transom hole, it starts leaking.

https://youtu.be/x_bQ_0Bg5E0

https://youtu.be/0sNI9snYa8E

[rookiepsu]

Here are some pictures showing the water level.

https://drive.google.com/file/d/0B87...ew?usp=sharing

https://drive.google.com/file/d/0B87...ew?usp=sharing

https://drive.google.com/file/d/0B87...ew?usp=sharing

[builderdude]

I see stress cracks in the gel coat just below the transom housing. Bounce on the leg to see if the transom will flex any. Small 1/4" holes drilled from inside to get core samples, don't drill through just in about 1"