Regarding paying a loan for a LLC-owned rental property

[Genaro Picazo]

Hello. I currently own a rental property that is titled under an LLC (I am the sole owner of the LLC). The property is owned out-right, without any loans, mortgages, or liens. I would like to do a cash-out refinance so that I can use the funds to purchase more property. I have spoken to several lenders and have found a couple that will make the loan on the property while keeping it under the LLC, but the loan will be made out to me, not the LLC.

Questions:

1. Is it normal to get the loan under my personal name even though the property is titled to the LLC? Or rather, are there downsides to this?

2. I understand that because the funds would originate from a loan, I would not need to pay taxes on them. Is that correct?

3. I understand that the monthly mortgage premium would be paid from the monthly recurring rental revenue, which currently goes into an LLC bank account. Do I need to worry about justifying why I am paying a personal loan from a LLC bank account?

4. Are there other caveats that I need to understand before moving forward with a loan structured as described above?

Thanks,

Genaro