V8 swap in an XJ leads to a WHOLE world of issues. Biggest being overheating (custom rad big enough to keep a 350 cool will set you back about $700 and the resultant body flex tends to bust the uniframe, starting at the rear hatch)
4.6L stroker swaps are common and there really isn't that much to the inline 6 that's so scary. There are more moving parts in the Chev V8 and they have cam bearings too! I would build a motor to swap out for your current one so it can be done in just a couple days.
Any stories you hear about the 4.0l being so scary is based on FUD (fear, uncertainty and doubt) generally done by people who think everything should have a Chev motor in it (often the people have Chev motors for sale and can't stand the competition)
Get a core and take it apart and you'll see just how simple they are. Might want to join the
strokers@yahoogroups.com list for more info on pumping up the power.
PS: The bellhousing is the same as AMC V8 and nothing else. The AW4 is used in a 6 speed version in the Lexus SUVs with supercharged V8s with minimal problems. I almost did a Toyota diesel swap into an XJ I had (too many projects to get onto it)