> What I need to know is how hard is this place for our level,
> would we all die?

I think die is too lite of a word. Maybe annihilated?

> Do the Battle drums and the Gypsy Lute drop in the same room if they do how
> rare are the drops because I am getting some MM drums if they drop.

The ballroom is where you will find all three items.

During the day the musicians have a chance of carrying the Gypsy
Lute. And the named musician carrys the Lute of the Gypsy Princess
common, and MM Drums rare. How rare? 1 in 5, 1 in 10? Honestly,
I haven't waited around long enough. She is an uncommon spawn.
During the night the musicians turn into werewolves.

The ballroom is guarded by:

3 NPCS out front, 2 NPCS at the gate, 2 NPCS inside the gate,
3 or 4 NPCS guard the entrance to ballroom, 2 NPCS guard the
corridor into the ballroom, and 5 NPCS guard the area around
the ballroom. 1 or 2 wandering NPCS sweep the ballroom.

Once you get agro'd on, due to poor castle pathing and AI,
the entire castle comes, ~30 monsters. And my favorite
saying on corpse recovery is:

'Damn??! Even the cooks have Harm Touch!!'

The best way to penetrate the castle is to take as little people
as possible, thus you reduce the liabilities. And a L39+ druid
is a must. Not to sound too disparaging. hehe.

Good luck!

Harmonic Distortion, 46th unchained melody.
League of Antonican Bards, The Wind Spirit's Song
<Lords of Aesir> Innoruuk