Cash-out mortgage to invest abroad- Tax implications?

[Tara G.]

We have a paid off rental home held in an LLC that we have a business LoC against (which can be converted to a fixed cash-out mortgage). We are looking to invest the proceeds in real estate abroad. Can we deduct mortgage interest expenses from the rental income generated by this property? what are the limitations to investing the proceeds? Do the proceeds need to be invested in the name of the LLC? BTW, this used to be our primary home that we deeded to the LLC about 5 years ago.. TIA!