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1987 yj

Just noisy gears = normal. You hear any strange noises coming from down there and it's a problem.

Don't know about the 31's but I run 33's with a 4" lift. I'd guess you'll need at least 2" for the 31's.
 
Whoa! Hold on a sec. Not all of them came with the eurotrash transmission. The AX-5 and the Peugeot BA 10/5 were used in all Wranglers from 1987-1989. The AX-5 was used in 4 banger YJ's and TJ's after '89. Better find out what you've got because the euro trans is a piece of @#$%. Assuming your YJ is still rolling I'd put my money on it having the AX-5. Look on the driver's side and see if the transmission is ribbed like it is on the passenger side. If it is you've got the AX5, if it isn't you've got the Pukegoat.

The AX-5 is a light duty five speed transmission. It looks similar to the AX-15, but smaller. It is manufactured by Aisin in Japan. The input shaft is 1" 14 spline and the output shaft can be 21 spline or 23 spline.
 
My sons 89 auto looks suspiciously like a 727.... but it also has an 85 engine in it.
 
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