Your aunt has a home which she bought several years ago for $150,000. Now the property is worth $200,000. Originally she had a mortgage of $135,000 on the home, but the mortgage is now at $120,000. During the year, she borrowed against the equity in her home with a home equity loan for $50,000, which she used to purchase a new car and take the family on a vacation. She paid $6,200 in mortgage interest and $2,200 in interest on the home equity loan. In total, how much mortgage interest may she deduct on her tax return? Explain your answer.