I noticed lube starting to seep from the driver front axle housing hub (to be clear - at the diff end, not wheel end). I pushed up an the axle at the hub and there is slight play, but same on passenger axle where it is not leaking?

1) Is this lateral play at the hub normal?
2) Can I expect the seeping to get worse soon or will it just continue to be a slow seeping?

2010 H3/ 80k miles, torsion bar lift to 23"

 

I'm confused?
The hub on happy does not have play.... if the seal at the housing is weeping behind the seal for the axle flange tube replace the cv axel and seal.

 

You most likely need to replace just the dif seal, an $8 part but it took me about 2 hours to replace it because you need to remove a lot of stuff to get at the seal.

 

My 2006 h3 with 80k has had a driver side CV seal seep for 2 summers. It's so slow that it never even drips/collects on the ground so I haven't replaced it.