As others have stated, ethanol has a lower BTU/gallon energy density so the the fuel mileage will be lower.
Modern cars are equipped with seals and plastics that are alcohol compatible so there should be no issues there.
One other potential disadvantage of alcohol as fuel is that it is hygroscopic - meaning it can absorb water/moisture from the air. As long as you are burning it up and replenishing it with fresh fuel all the time that isn't a problem, but if it sits for long periods of time in humid areas it can absorb a fair amount of water, which is obviously NOT a good thing.
We need to do what they have done in Brazil and several other countries. They have set up alcohol production facilities geared towards using agricultural wastes - like sugar cane after most of the sugar has been extracted, or corn husks & cobs, or straw left over from grain production, etc. Doing it that way the cost per gallon is low and you aren't using up food to make fuel. In the US we are only equipped to produce alcohol from grain, so we are diverting food crops (mainly corn) into producing alcohol for fuel. Doing it that way the alcohol is MUCH more expensive and also drives up the cost of grain-based products (food) due to increased demand.
I'm not 100% certain about the rest of the country, but here on the West Coast virtually ALL gasoline is blended 10% with ethanol. Unless I am mistaken I believe that is true nationwide due to a Federal law passed about 10 or 15 years ago requiring 10% alcohol blended into pump gas. It is a prime example of the "unintended consequences" of lawmakers passing a law that sounds good (like forcing an increase in the use of renewable fuels) without fully examining all aspects of the effects and impacts (increased demand for grain and high cost of grain-based alcohol & food) beforehand.