Everything is going great, and I'm looking to expand to find more Owners. 

I'm not looking to do anything with it, other than expand in this area.My question is, what do I do with the Phoenix home?

They still require you, the investor, to conduct proper due diligence and to keep your head on in case any challenges arise.

Then the property title would be transferred into the LLC, thus giving you checkbook control over this and any other assets you will purchase in it.Here are some of the Checkbook IRA benefits:Ability to execute transaction directly without going through custodian or IRA Administrator, simply by writing a checkEliminate transaction fees and asset based fees (you will need to pick the right custodian with proper fee structure, the company you will chose to do this for you will help you make that selection)Eliminate delays and 'red tape' that often comes with having a custodian handle every single transaction, you can act on best investment opportunities immediatelyHope this helps. 

I found something called Section 8 housing which can be very bad for investors if tenants are not screened properly I understand even with proper screening you will still get bad apples.

@Aaron Deane Many of the answers you are looking for can be found here:How to Effectively Conduct Joint Venture Agreements as a Real Estate Investor596231-how-do-i-properly-construct-a-purchase-with-a-partnership591376-create-an-llc-for-first-partnership-best-way-to-do-so526244-taking-on-partner-s-and-limiting-our-liabilitesGood luck!

@Quandra Adams to expand on @Michael Plaks comments above: correct insurance policy for rental property ("landlord's policy") will give you coverage that protects the property from fire, etc. as well as it will come with the liability coverage (you should get at least $300K of liability coverage for a rental).

Thanks, @Michael Garofalo  What you're saying is that as long as my properties properly cash flow, a downturn shouldn't hurt things too much outside of an increased vacancy rate?

Proper paint and paint techniques can do wonders for cheap

Why count she have  maintenance man come fix the air conditioner properly?