Which actions can a trustee of a PA trust typically perform on the trust property?

A trustee of a Pennsylvania trust generally has broad powers when it comes to managing the trust property. This means the trustee can engage in actions such as leasing, buying, selling, and encumbering the property. The primary duty of a trustee is to act in the best interests of the beneficiaries and to manage the trust assets effectively.

When a trustee leases property, they generate income for the trust, which can benefit the beneficiaries. Buying property can diversify the trust's assets, increasing potential future returns. Selling property allows the trustee to realize gains from appreciated assets or to liquidate for cash needs. Encumbering property, which may involve borrowing against it or placing a lien, can provide necessary financing for the trust's operations or for investments.

The options that limit a trustee's authority, such as only allowing sales and leasing or restricting actions to buy and encumber, do not align with the broader fiduciary responsibilities that a trustee typically holds. This flexibility is essential for adapting to changing circumstances or beneficiary needs and maximizing the value of the trust's assets.