Operating LGB electric switches without official switch boxes? (answered)

Use the dry WD-40 if you're going to use it at all. WD-40 Specialist Dry Lube, 11-Ounce - Walmart.com

I think you would do better with a small oil dispenser where you can apply drops.

I would take the motor completely out of the housing and stand it vertical and try to get some oil down the shaft I suspect the shaft may have some build up on it.

You should be able to easily turn the shaft back and forth by holding the gear in your fingers.
 
Everything seemed to be in the right place. Maybe it just needs some sort of lubrication/cleaning.
if so, what's the best thing to lubricate with and where?
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The resistance/hesitation all seems to be located in the turning of the motor shaft. The moving of the rails is fine without connecting to the gear. would WD40 damage the motor?
There is s small dimple of plastic on the round gear, it is just visible pointing just off vertical. It needs to be fully to the left touching the stop and then put the rack back fully to the left as far as will go. The point will not work properly unless this is so. While gently holding the rack downwards try it both ways and it should travel the full distance. As Greg says clean up the gunge then use some silicone grease LGB 51020 or something similar if you can get it.
 
After taking it completely apart, I can see that there is some lack of smoothness in the turning of the plastic cylinder containing the magnet. I have lime away and silicone grease, so I'll try cleaning and lubricating with those. thanks.
 
I mostly cleaned it out with lime away, sanded some plastic burrs on the plastic magnet cylinder, flattened a metal piece on a sleeper which was rubbing slightly on the moving rail, and now it's working. The noise suggests it struggles slightly in one direction, but it's fully functional now. I don't think I can simultaneously operate a semaphore with the weakness of this motor. I would sooner leave it manual than pay $35, if I wasn't able to fix it. I think I paid $15 each(total) for the two electric switches, and one of them worked fine as was. Now they are both doing what I want. Thanks to everyone, and special thanks to dunnyrail , because after I cleaned it I had put it together slightly wrong and dunnyrails suggestion that I set the gear all the way to one side was the solution.
 
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