The website I recommend is http://www.magickeys.com/books/ and has many great tools for reading. Books for various ages, fun activities, and a read-aloud feature for some stories. Here's some of the fun books I found:
Little Miss Mary and the Big Monster Makeover
by: by G.G. Toropov and Cleone Cassidy
Summary: Is trendy Little Miss Mary ready to make over a monster?
I have a soft spot for this next story, it's about a bear who has a funny name! We Picklesimers deal with this name game all of the time!
Wolstencroft the Bear
by: Karen Lewis
Summary: Wolstencroft wants a home for his own, but thinks that his name is holding him back. Will he find someone to love him, strange name and all?
Also check out their sister site for all of your child's phonics needs. Games, puzzles, all fun and phonics. http://www.magickeys.com/books/phonics.html