Lots of good suggestions guys, of course I didn't expect anything else.

I went over the heli a few minutes ago and grabbed a hold of the blade grips. If I try to move the grips up and down, they move about an 1/8" or so and the end of the blades look like they're moving about an inch. Wow.

So I'm thinking those blade grips should be changed. I happen to have a set of new grips that I ordered thinking I'd need them for if I crash it, I didn't think I'd be needing them for general maintenance. I will check the spindle, hopefully that's okay. I would like to replace the dampeners, but will have to order those.
My question is how do I check the dampeners? Besides the obvious signs of deteriated or deformed rubber, what do I look for? Will bad dampeners develp cracks or just feel sloppy on the spindle?
I used to have a Venture 50 that had some slop in the grips and that was with new parts, but that flew fine. So I'm guessing that sometimes a little is okay.
Also, when I try to change the blade pitch by hand, there is slight play in the swash plate and it leads down to the servos having play. How tight should the swashplate and the washout arms be. Most helis that I've had always had some play, very minimal. The only thing that really jumps out at me is the grips, so I hope that's it.
I've also been doing some reading and what's the deal with the fix that involves flipping the blade grips? I think I did that with my venture 50 before I bought new grips.
As far as the DS821s, I was in college at the time I bought them and I loved the price of them. They've been good and have taken a beating. The collective servo seems to wiggle at the shaft a bit so I've ordered a replacement servo, a hitec 5625MG. I'm hoping the MG on the collective will hold up longer and with just over 50% more torque than the DS 821 I should have an okay budget friendly digital servo. It is definitely a step up from the DS821 and I wish I would have gone that route from the start.
My two cyclic servos seem to be fine so I'm thinking of leaving them. The collective takes the biggest toll on servos, right? I may eventually put in some 5625MGs.
I checked the HH site and they list the DS821 for up to 1.20 planes, 30 size helis, and 50 size electric. Are electric helis really easier on the servos than a nitro? Electric motors can put out some serious power.
Other than my few ?'s, I should be good to go once I get the parts in. I'll try to remember to get an update posted. (once I get the bugs out, I'll be having too much fun and could get side tracked) I appreciate the help. I've never had this woofing issue so it's been an experience for sure. Most of my past helis, I've sold right before they developed any serious problems. Man I knew I should have gone for that Raptor 90!

My woofing is so bad in the air that when it does it the head speeds drops so low that the only way for me to maintain my altitude is to add more collective. Than the blades will eventually speed up if I'm not forced into a landing.
Anyone have these issues with other helis! This is my first Raptor and I'm wondering if I should go with the new Vibe 50 instead? Hmmm.