Just stumbled into this thread, because I'm still waffling, and saw that you asked me a question and I never answered.
I'm not sure I notice much of a difference in the way they drive or handle...32x11.5 and 33x10.5 are pretty close in weight. My next set will definitely be 33's because by the time I need tires I'll have a 4" Currie/Savvy lift and I want to use as big of a tire that my build will allow.
I think I'm finally settled on KM3's, which still leaves open the possibility of 10.5. I think the wide stance, 12.5 tires with 4+ offset looks more aggressive if paired with large-opening fenders like metalcloak or MCE, but I don't care for the way they look with stock style fenders, even the wider ones. I really like the look of MCE fenders and the reminiscence of the old flat fender MB's but don't think I've seen enough 10.5's paired with them to know how that will look. And I readily admit, though my build to this point has been almost entirely about function, the pairing of fender and tire are entirely about form, but the decision will be influenced by some function like "can 12.5 really air down significantly farther than 10.5 on an 8" wheel", "will an extra 4.5" of outside tire width (going from 5.25 to 4" BS wheel in addition to the wider tire) provide a perceivable increase in off camber stability" and "how much will my wife and I enjoy getting sprayed with mud when we're doorless".
For reference, my (formerly) LJ with a 3" lift, stock wheels and 33x10.5 KM2's that still sprayed the side somewhat.
