All good things must come to an end/life changes

Hi all, so after owning my 1995 XJ for about 3 years, I purchased a 2017 JKU Rubicon Hard Rock over the weekend. I have a few questions about the XJ before I put her up for sale. She is mechanically solid, but last friday I took her out wheeling and when I would engage her in 4WD high, the light on the dash would say I was in gear but I had no 4wd, only once I went all the way into low would 4wd engage. Also if I go from 4WD low to N its smooth, but from N to High its grinds for a second before going in, the smooth back to 2WD. Any idea what I can do to remedy this situation?

not sure about the first problem. For the second, are you shifting the trans into neutral before shifting the transfer case through neutral?

Yes, I am always in neutral when changing transfer case positions

I get grinding sometimes but only when I'm trying to do everything too fast, like push trans into gear while tcase is still in neutral

It's possible your losing the mode fork. Last time I was in mine about half the fork was gone. Didn't make any noise either. I'd say some noise going from neutral to high or low is pretty normal.

In my experience, those lights are very unreliable: my latest does show I'm in 4WD (not had to test Lo yet), the previous one often stayed green when I'd dropped into Lo &, if I remember rightly, the 1st one might take a mile down the road after switching back to 2WD, for the light to go out. I've learned not to rely on them because, often, they don't mean anything!