Autohover looks to be the issue.......but boy do I still stink at flying this thing. I can't keep a level flight for the life of me....gonna need a ton of practice.
Thanks for everybody's help.
Sly, have you flown in ArmA1? It's changed a little but not entirely different. Take things slow at first, practicing hovering over a small area, doing low flight. Make sure you framerate is good before you fly, as stutters will cause some nasty crashes.
I have saitek x52 also but I'm not having that issues...calibrate is the only thing I can think of.
To have an even flight all you need to do is either keep the helicopter even or have the nose tipped down juuust a bit, pending on helicopter, Mi-8 for example works best even whereas the UH-1Y works best with the nose dipped down some.

A good way to practice is to fire up the mission editor on any map, plop yourself into a helo, and put a few H's around (Side: empty, Category: objects) in suitable spots. Starting from an airfield is good, put an H on the runway or somewhere easy to land on. Once you're good at that, get progressively trickier - putting them next to trees and such so your margin for error is smaller.
Once you're good at landing you'll have developed a reasonable set of control skills for the aircraft. It's also a good idea to practice hovering manually (i.e. without enabling the autohover) - helps you learn the center position of the ship you're flying and learn to control it using small movements and avoiding overcontrolling.

What do you guys leave your axis senstivity settings at? I find the default a bit too sluggish, so leave them at about 60-70%, with throttle higher.
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