I've noticed that more often than not when the car is started and put into D there is a dull grind noise for a split second.

Seems to happen more frequently when reversed and then put into D.
Noise coming mostly from the passenger footwell area.
It can be felt ever so slightly if you are paying attention.
Noise is similar to what you'd expect if an electric motor was turned on to move something.

My assumption is something with the transmission?
If so, is this normal or is it the beginning of something bad?

How are your brakes?

Not too good but somehow it doesn't seem brake related.
Should I try it while pressing the brake pedal lightly to see if it makes a difference?

Don't assume anything, inspect instead!

You may want to look at the condition of your driveshafts.

Could be brakes, could be driveshafts, could be diff, could be lots of things.

My biggest fear is it's the transmission.
Could it be something inside the transmission making that noise?

My biggest fear is it's the transmission.
Could it be something inside the transmission making that noise?

yes - differential.

But why assume the worst if you haven't had a serious look to narrow down the source?

The noise is so dull that unless you know what you're listening to you won't notice it.
I am not exactly sure of where to start looking. The driveshafts seem fine (don't click or anything).
Like mentioned the brakes need changing but it doesn't seem like they are the culprit.

It happens when moving about 3km/h (so just taking off).
I will pay attention to it and see if the amount of throttle I press has an effect.
While driving it doesn't do it, it's seems only after it is put in gear that it happens

Going from reverse to drive will show up any play in driveshafts and differential as you are changing the direction of the load on things.

You won't be able to find the location of the problem from the driver's seat, you need to get under the car.

Jack one side up, put an axle stand under there, and check driveshaft on that side for torn boots. Also rotate the wheel slightly and look for movement of the driveshaft components relative to each other.
Repeat on other side.

If it is a buggered driveshaft it will just get louder and the problem more obvious. (and more expensive to fix.)

Alternatively, go to a workshop, describe the sound, and they can put it up on the hoist and have a good look.

The driveshaft boots are ok.
And at full lock there is no clicking or anything from the driveshafts

Might need to take it to a workshop after all

I remember a thread a while back. the same sort of issue was described and it turned out to be the ABS doing a system check or something. I will see if i can find the thread.

http://www.aussiemagna.com/forums/showthread.php?t=94189&highlight=abs+system+check

Spetz, I think your car might have same noise as mine. See my comments in your post "rattle at 1100rpm" and mine "noise at start up". My car makes the noise only after standing for about 8 hours. the noise is not there in Neutral or Park, but can be heard as I shift into R or D. Sometimes it continues as i reverse out of the garage. After going only a few metres, it is gone. It is there every morning. My strategy is to reverse out of the garage promptly, not messing about with radio/mobile etc.

Thanks guys,
The ABS thing makes sense.
Is there any way to make sure it's the ABS?
ie, can I take out the ABS fuse maybe and if the noise persists then it isn't the ABS?

Thanks guys,
The ABS thing makes sense.
Huh? But if thats the case, wouldnt you have heard it before this?

The ABS check on both my KH and KL is a pretty short, very light sounding, grind noise. Only lasts a second or so, shortly after moving off from startup. If you had the radio on, or even the fan on high, then you probably wouldnt notice it

Yes that's how it is.
A very dull grind noise, lasts less than a second, does it at around 5km/h on first take off from starting car, have to pay attention to notice it.

I only recently bought the car so there was no "before".

definitley the problem going by the above description.

i am not sure about taking the abs fuse out, only because i am not sure if it will cause your abs light to stay on until the error has been cleared after you plug it back in. somebody will know.