I started out with a used Ford 8.8 from an Explorer 4x4 95-2002, for the disk breaks.
This is a photo of the 8.8 I started with that got swaped in to my XJ, I am just using it to show a starting photo.
Having used this axle in the past on my jeep made me confident that it was strong enough for my application yet simple enough for me to work on.
I first stripped down the whole axle. Using my plasma cutter makes quick work of cutting the leaf perches and sway bar brackets off, and grinding the housing and tubes smooth. You can also cut the brackets off with a die grinder and cutting wheel or sawzall. Removed the cover and drain the fluid. Removed the break assembly, then the cross pin bolt and cross pin, pull the "C" clips, and out slides the axle shafts. Unbolt the carrier and pinion. Then using a Slide hammer and puller remove all the bearings. Clean all the parts up. I then welded the tubes to the housing my self. 8.8s have had a problem with the plug welds coming lose in high HP applications when the housings get really heated up. Thats why I weld all my tubes to the housings even though my slant will never make that kind of power. Now the Axle is ready to go to the axle shop.
Now this project as all projects got alittle out of hand price wise. It could be done on the cheap if you do it your self and you use all the original parts. How ever I endend up going with all new parts after I got the axle stripped I found everything was worn, bearings, shafts, limited slip. So I started ordering parts. New Beraing and Seal kit and Cobra Trac-Lok with carbon clutches, Alloy axle shafts(2 short sides).
A week later I get my axle back from the shop about 2 and 3/8s shorter, gears and axles installed and new perches welded on. I had the perches moved in .50 inches to use Doctor Diffs relocation kit just for alittle extra room with the Cobra R wheels I am going to be running.
All sprayed in Gray primer awaiting Black paint. Next I need to get the rotors turned, new break pads and Plumb new brake lines.
Many may argue why I chose to go with an 8.8 and if I didnt have to get all new parts it would have been cheaper to go with than the 8.25 or 8.75. But I now have a big bolt pattern, limited slip, 3.73 geared, 31 splined rear axle with disk breaks and all new parts, that can take anything I can ever throw at it. I ended up right in the $1k ball park so I could have possibly went with a 8.25 or 8.75 but I have a beefy strong rear axle with disk breaks that I can get replacement parts for at any auto parts store.
Stay tuned for when it gets installed in the car.