Camera focus after case replacement

I recently replaced the assembly of an iPhone 7+. However I’m noticing that the camera images are blurry regardless of zoom setting.

When I take the phone apart, and remove the camera from the “port” it sits into, the camera is no longer blurry (I tested while the phone was apart and camera lens moves in and out and focus is perfect). As soon as I put the camera back into it’s spot, the camera is blurry. The lens is perfectly clean.

I have a feeling that when the camera is placed in the port, the actual camera lens can’t “zoom” and physically move.

What am I doing wrong?