Trustees
This page is for trustees and successor trustees responsible for a house held in a Washington trust: what to do first, whether the beneficiaries must approve a sale, what happens when co-trustees disagree, and what to do when a beneficiary is living in the house.
Still deciding who should serve, or whether to name a family member, a trust company or both? See Family Member or Trust Company? Choosing a Trustee in Washington State, which also covers the notice and appraisal rule when the house is a quarter or more of the trust.
When the trust owns the house: a trustee's first steps
When a parent's living trust holds the house, the successor trustee can usually manage and sell it without probate or a court order. The trustee's powers come from the trust document and Washington law, and they come with duties: to follow the trust's terms, to act only in the beneficiaries' interests, and to treat them evenhandedly.
- Confirm your authority. Read the trust and any amendments, and have the trust's attorney prepare a certification of trust. Title companies and banks can rely on it without seeing the whole trust, which keeps family details private.
- Secure and insure the house. Change the locks if others have keys, tell the insurer the owner has died (a vacant house may need different coverage), and keep paying the mortgage, taxes and utilities from trust funds.
- Tell the beneficiaries. For most trusts, the trustee must notify the qualified beneficiaries within 60 days of accepting the trusteeship, unless the trust document waives or changes that, and must keep them reasonably informed from then on, answering their questions promptly.
- Get the value on paper. A date-of-death appraisal sets the new tax basis and documents what the house was worth, which matters whether it is sold, kept or given to one beneficiary.
- Follow the trust's instructions. The document may say to sell, to give the house to one person, or to hold it. Where it leaves the choice to you, decide with all the beneficiaries in mind, not just the one who speaks loudest.
Sources: RCW 11.98.070 (powers); RCW 11.98.072 (notice and information); RCW 11.98.075 (certification of trust); RCW 11.98.078 (loyalty and impartiality).
Do the beneficiaries have to approve the sale?
Usually not. Washington law gives a trustee the power to sell trust property, subject to the trust's own terms and the trustee's duties. The beneficiaries must be kept informed, but informing them is not the same as needing their permission. Check the document itself: some trusts do require consent, or name who receives the house.
The exception: selling to yourself or your family. A sale of trust property to the trustee, or one affected by a conflict of interest, such as a sale to the trustee's spouse, children, siblings or parents, can be undone by an affected beneficiary. It stands if the trust authorizes it, if a court or a binding written agreement among the interested parties approves it, or if the beneficiary consents. A trustee who wants to buy the house should get an independent appraisal and that approval in writing before signing anything.
Sources: RCW 11.98.070; RCW 11.98.078 (conflicted transactions); RCW 11.96A.220 (binding agreements). Pricing: pricing a house in a trust or estate.
When co-trustees disagree
Siblings named as co-trustees often disagree about whether to sell, when, and for how much. Start with the trust document, which may say how co-trustees decide. Where it is silent, Washington law sets a few rules:
- Three or more trustees may act by majority. A trustee who goes along with the majority under protest is protected by putting the dissent in writing to each co-trustee at or before the time.
- Two trustees are not covered by the majority rule, so plan on both signing unless the trust says otherwise.
- The 15-day notice. A trustee can send the others written notice of a proposed action, such as accepting an offer. A co-trustee who does not object in writing within 15 days of receiving it is treated as approving, unless they earlier told that trustee in writing that the 15-day rule does not apply.
- Delegation. With the other's consent, one co-trustee can delegate a task, such as handling the sale, to another in a signed writing.
If none of that breaks the deadlock, Washington's trust dispute law (TEDRA) offers mediation and, failing that, a court petition, which can include asking the court to change a trustee for reasonable cause. Each step costs the trust money, so it usually makes sense to try a neutral appraisal and a written plan first.
Sources: RCW 11.98.016 (co-trustees); RCW 11.98.039 (changing a trustee); chapter 11.96A RCW (TEDRA).
A beneficiary living in the house rent-free
It is common: an adult child who lived with or cared for the parent stays on after the death. The trustee has to treat all the beneficiaries impartially, so free use of the trust's house by one of them, while the others wait, needs a basis. The first question is whether the trust gives that person a right to live there. If it does not:
- Agree on terms in writing. A move-out date, and either rent or payment of the taxes, insurance and utilities while they stay.
- Keep a record of the dates and what was or wasn't paid, and ask the trust's attorney whether fair rent can be charged against that beneficiary's share when the trust is divided.
- Remember who holds title. The trustee, not the beneficiary in residence, controls the house. If talking fails, the trust's attorney can recommend the right legal step to recover possession; it is the last resort because it costs every beneficiary.
Source: RCW 11.98.078 (impartiality). If the house is in probate rather than a trust, see when a sibling lives in the house.
Trust services
A trust company can serve as trustee or co-trustee, or support a family member who serves. Real Property Planning lists professionals the founder has met personally; it is not an endorsement, and no one pays to be listed.
Quick Answers
Common Trustee Questions
Trustee responsible for real estate?
A trust sale has its own valuation, documentation, and beneficiary-communication questions. Ask about the property, and be pointed to the right guide or professional.
Ask about the trust propertyProperty questions go to David Stein, the featured broker and appraiser (eXp Realty), independently of Real Property Planning.
Professional Disclosure
Real Property Planning is an educational and connection hub. It does not provide legal, tax, accounting, financial, brokerage, or appraisal services. Professionals referenced on this site are independently licensed and operate through their own separate businesses. Real estate brokerage services are provided by David Stein, a licensed Washington broker, through eXp Realty. Appraisal services are provided by David Stein through Stein Appraisal. Read the full disclaimer.
