Danielle purchased a home with her husband, Neville, in March of 2021 for $700,000 in a separate property state. In June of 2021, Danielle and Neville separated. On December 31, they were still legally married but were not living together. Neville refused to file a joint return with Danielle. Danielle is living in the home and has continued to make the mortgage payments. Danielle and Neville have no children. Danielle will be itemizing her deductions. On what portion of the acquisition debt will interest be deductible on Danielle's tax return for 2021?

$0

$350,000

$375,000

$700,000