Hey! Jasen here, from the iFixit team. We played around with some of our iPhone 7 units and swapped around a few screens. We were able to successfully swap a screen from one iPhone 7 to another iPhone 7—and the Touch ID/home button worked after the swap for us.

Interested to see some of the results you all get after you swap screens, too. Keep posting here with your results! We'll keep testing on our side, too.