Which statement is TRUE regarding the warranty on a new home for the second homeowner?

The statement regarding the warranty on a new home for the second homeowner that is true highlights the concept of warranty transferability. Statutory warranties in Minnesota are designed to protect homeowners, and these warranties are indeed transferable to subsequent owners. This means that when the home is sold to a second homeowner, the existing warranties—such as those covering defects in workmanship, materials, or suitability for habitation—remain in effect and benefit the new owner.

Transferring these warranties is essential for ensuring that the new homeowner has protection against potential issues that might arise and that were covered under the original warranty. This is particularly important in the context of construction and real estate, as it fosters consumer confidence and adds value to the property.

The other options do not accurately represent the nature of statutory warranties. For instance, claiming there is no warranty contradicts the fundamental protections established under Minnesota law. Additionally, stating that all warranties cease after one year or that they continue for just one additional year does not take into account the full scope and duration of the statutory warranties that are intended to remain valid for a longer period and be transferable, thus providing continued protection for new homeowners.