OK, well the 292/509 made my 11.2Scr360 a tad lazy too,off the line.It pulled real nice from 5500 all the way to 7200, with OOTB Eddies. I expect a short-stroke 340 might be even lazier. I dropped that cam like a hot potato. I really like my 230* cam.It's very torquey in my 360.
If the quoted price includes a rebearing then, well, the price of those kits is getting up there. I don't recall what price I paid for the last kit, but I do remember being surprised by it. So then the $350 still seems high, just a little less so.
That's the trouble with some shops.They like to sell parts ,cuz, well, there's good mark up on that kit.
But here's how I see it; If the rear end is assembled with used bearings, and it turns out to be whinny?, just try getting warranty. There's a good chance the shop will try to blame the whine on the used bearings, or the used gears. However with new bearings they have no out, and a whinny diff can only be; the used gears, or an incorrect assembly.For a city-car a whinny diff is only slightly annoying.
BTW, I whinny gear set, if properly set up, will be whinny forever. There's no such thing as; "oh, they just need a few miles to break in".
Tapered Bearings aren't rocket science. You can get eyes on them. If they look good, they probably are good.I have re-used bearings in my personal diffs, many times. And I have robbed used bearings from other used diffs, with no ill effects. And that would include the pinion bearings.