In a large bowl, use an electric mixer (or a fork) to combine sausage and cream cheese until uniform. Add baking mix and mix to combine. Add cheddar and mix to combine.
Form into 18 equal-sized balls.
Place half the balls in the bottom of the Air Fryer Basket. Insert the Broil Tray and place half the balls on the Broil Tray.
Add 1 cup water to the Instant Pot. Place the Air Fryer Basket on its base and lower into the pot. Secure the Pressure Cooking Lid.
Using the display panel select the PRESSURE COOK function. Adjust the time to 5 minutes, then select START.
When the time is up, quick-release the pressure.
Select CANCEL, then remove the Air Fryer Basket and drain the liquid from the pot.
Replace the Air Fryer Basket in the emptied pot, then secure the Air Fryer Lid.
Using the display panel select the AIR FRY function. Adjust the temperature to 360°F and the time to 8 minutes, then select START.
When display indicates “Turn Food” do nothing. When Air Fry program is finished, remove the lid and place on the protective pad.
Use a meat thermometer to ensure internal temperature is at least 160°F. Serve warm.