I think my 8 ¾ housing is toast.

Fst73_360 said
When you put the back brace on, does it need to be in anything special or just place and weld?

This: http://www.moserengineering.com/suspension-components-brackets/8-3-4-mopar.html

When welding one on you need to take care to not warp the housing.

When I did mine I put the housing on jack stands on the bench and strapped it down. Stitch weld and let cool. If you hear it popping it's trying to warp. Slow and easy.