The water empties out pretty quick. I wasn't sure if it was normal for them to be so low. I'll have the boat out on Saturday, I'll take some pictures. Again, it tends to happen when I am messing with the motor, maybe looking over the back or unlatching the cowl.
Any recommendations on engines? I really like the look of the 1950s OMC engines. My 1961 looks a bit too modern. I have been eying up a local 1957 Evinrude Lark 35. I'm not worried about doing mechanical work, but I know parts can be a wildcard.
For the most part, I suspect you're simply dealing with the downfalls of a 15" transom.
In my experience, shutting things down too quickly will often get an uninvited following wave, too. lol
The Aqueduct Transom does a nice job of mitigating that whole scenario, in my opinion.
I have a few other boats like the early Crestliner Speedsters that have no stern deck at all and the whole following wave thing makes for an interesting day using a part of the brain that usually stays dormant.
As far as engines, I love the early magneto omc motors. Super simple and all the consumables are still readily available. Except for the thermostat, most of the parts on the '57 are identical to your '61.
Personally, I have a garage full of them and I often switch them out just for giggles.
On the Deep C, I've run multiple omc 35s and a '62 40hp. This winter, I'm geared up to mount twin '56 30s.
It's a really versatile boat. It's becoming one of my favorites, to be honest.
*fwiw, I can tell the difference in the 35 vs the 40, but only because I've done them back to back.
Ultimately, I think you'll love the Lark. It's one of the best looking of the era with direct ties to the Raymond Loewy design house.
(also, for what it's worth, I would personally pick the '57 over the '61 mechanically, too, as the '60 / '61 40s had a few known weak spots with using the smaller 35 crank design.)