I know, I know, but you could always break that sentenence down, i.e.,
"extend a loan secured by a first lien on a principal dwelling"
The answer to that question is "yes".
"an escrow account is established before consummation for payment of property taxes and premiums for mortgage-related insurance required by the creditor"
Taxes and insurance on both properties are required by the creditor.
Personally, I would establsih for both properties to avoid that argument.
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