Sram XD Freehub, 12mm through axle

To allow the freehub to work when freewheeling, I need to keep the axle really loose.

Even screwing the axle at either end finger tight means when I put it on the bike and lock on the maxle, the bike does not freewheel properly.

Am I missing something?

probably a spacer

That is actually useful 🙂

Need to decide where it goes but I think I can probably figure it out.

Its usually always a spacer/washer missing with those symptoms 😉

I’m not familiar with those freehubs at all though.

Agree, you’ll have a spacer missing, google the parts diagram of your hub and see if all the bits are there.