diff --git a/editor/editor_settings.cpp b/editor/editor_settings.cpp
index 16c2a0f028d..b0ae541f8bb 100644
--- a/editor/editor_settings.cpp
+++ b/editor/editor_settings.cpp
@@ -476,6 +476,7 @@ void EditorSettings::_load_defaults(Ref<ConfigFile> p_extra_config) {
 
 	// SceneTree
 	_initial_set("docks/scene_tree/start_create_dialog_fully_expanded", false);
+	_initial_set("docks/scene_tree/auto_expand_to_selected", true);
 
 	// FileSystem
 	_initial_set("docks/filesystem/thumbnail_size", 64);
diff --git a/editor/scene_tree_dock.cpp b/editor/scene_tree_dock.cpp
index 8994adf1122..c9dbb9382a7 100644
--- a/editor/scene_tree_dock.cpp
+++ b/editor/scene_tree_dock.cpp
@@ -975,6 +975,9 @@ void SceneTreeDock::_tool_selected(int p_tool, bool p_confirm_override) {
 			}
 			EditorNode::get_singleton()->set_visible_editor(EditorNode::EDITOR_SCRIPT);
 		} break;
+		case TOOL_AUTO_EXPAND: {
+			scene_tree->set_auto_expand_selected(!EditorSettings::get_singleton()->get("docks/scene_tree/auto_expand_to_selected"), true);
+		} break;
 		case TOOL_SCENE_EDITABLE_CHILDREN: {
 			if (!profile_allow_editing) {
 				break;
@@ -1286,12 +1289,14 @@ void SceneTreeDock::_notification(int p_what) {
 
 		case NOTIFICATION_ENTER_TREE: {
 			clear_inherit_confirm->connect("confirmed", callable_mp(this, &SceneTreeDock::_tool_selected), make_binds(TOOL_SCENE_CLEAR_INHERITANCE_CONFIRM, false));
+			scene_tree->set_auto_expand_selected(EditorSettings::get_singleton()->get("docks/scene_tree/auto_expand_to_selected"), false);
 		} break;
 
 		case NOTIFICATION_EXIT_TREE: {
 			clear_inherit_confirm->disconnect("confirmed", callable_mp(this, &SceneTreeDock::_tool_selected));
 		} break;
 		case EditorSettings::NOTIFICATION_EDITOR_SETTINGS_CHANGED: {
+			scene_tree->set_auto_expand_selected(EditorSettings::get_singleton()->get("docks/scene_tree/auto_expand_to_selected"), false);
 			button_add->set_icon(get_theme_icon(SNAME("Add"), SNAME("EditorIcons")));
 			button_instance->set_icon(get_theme_icon(SNAME("Instance"), SNAME("EditorIcons")));
 			button_create_script->set_icon(get_theme_icon(SNAME("ScriptCreate"), SNAME("EditorIcons")));
@@ -2813,6 +2818,8 @@ void SceneTreeDock::_tree_rmb(const Vector2 &p_menu_pos) {
 	}
 	menu->add_separator();
 	menu->add_icon_item(get_theme_icon(SNAME("Help"), SNAME("EditorIcons")), TTR("Open Documentation"), TOOL_OPEN_DOCUMENTATION);
+	menu->add_check_item(TTR("Auto Expand to Selected"), TOOL_AUTO_EXPAND);
+	menu->set_item_checked(menu->get_item_idx_from_text(TTR("Auto Expand to Selected")), EditorSettings::get_singleton()->get("docks/scene_tree/auto_expand_to_selected"));
 
 	if (profile_allow_editing) {
 		menu->add_separator();
diff --git a/editor/scene_tree_dock.h b/editor/scene_tree_dock.h
index ccdc0a37868..bd1ac2ff904 100644
--- a/editor/scene_tree_dock.h
+++ b/editor/scene_tree_dock.h
@@ -79,6 +79,7 @@ class SceneTreeDock : public VBoxContainer {
 		TOOL_COPY_NODE_PATH,
 		TOOL_BUTTON_MAX,
 		TOOL_OPEN_DOCUMENTATION,
+		TOOL_AUTO_EXPAND,
 		TOOL_SCENE_EDITABLE_CHILDREN,
 		TOOL_SCENE_USE_PLACEHOLDER,
 		TOOL_SCENE_MAKE_LOCAL,
diff --git a/editor/scene_tree_editor.cpp b/editor/scene_tree_editor.cpp
index 83b0203f324..1d6009b45a8 100644
--- a/editor/scene_tree_editor.cpp
+++ b/editor/scene_tree_editor.cpp
@@ -735,17 +735,18 @@ void SceneTreeEditor::set_selected(Node *p_node, bool p_emit_selected) {
 	TreeItem *item = p_node ? _find(tree->get_root(), p_node->get_path()) : nullptr;
 
 	if (item) {
-		// make visible when it's collapsed
-		TreeItem *node = item->get_parent();
-		while (node && node != tree->get_root()) {
-			node->set_collapsed(false);
-			node = node->get_parent();
+		if (auto_expand_selected) {
+			// Make visible when it's collapsed.
+			TreeItem *node = item->get_parent();
+			while (node && node != tree->get_root()) {
+				node->set_collapsed(false);
+				node = node->get_parent();
+			}
+			item->select(0);
+			item->set_as_cursor(0);
+			selected = p_node;
+			tree->ensure_cursor_is_visible();
 		}
-		item->select(0);
-		item->set_as_cursor(0);
-		selected = p_node;
-		tree->ensure_cursor_is_visible();
-
 	} else {
 		if (!p_node) {
 			selected = nullptr;
@@ -1125,11 +1126,19 @@ void SceneTreeEditor::_rmb_select(const Vector2 &p_pos) {
 void SceneTreeEditor::update_warning() {
 	_warning_changed(nullptr);
 }
+
 void SceneTreeEditor::_warning_changed(Node *p_for_node) {
 	//should use a timer
 	update_timer->start();
 }
 
+void SceneTreeEditor::set_auto_expand_selected(bool p_auto, bool p_update_settings) {
+	if (p_update_settings) {
+		EditorSettings::get_singleton()->set("docks/scene_tree/auto_expand_to_selected", p_auto);
+	}
+	auto_expand_selected = p_auto;
+}
+
 void SceneTreeEditor::set_connect_to_script_mode(bool p_enable) {
 	connect_to_script_mode = p_enable;
 	update_tree();
diff --git a/editor/scene_tree_editor.h b/editor/scene_tree_editor.h
index acd49e8d920..4acd5d8486d 100644
--- a/editor/scene_tree_editor.h
+++ b/editor/scene_tree_editor.h
@@ -64,6 +64,7 @@ class SceneTreeEditor : public Control {
 	AcceptDialog *error;
 	AcceptDialog *warning;
 
+	bool auto_expand_selected = true;
 	bool connect_to_script_mode;
 	bool connecting_signal;
 
@@ -152,6 +153,7 @@ public:
 
 	void update_tree() { _update_tree(); }
 
+	void set_auto_expand_selected(bool p_auto, bool p_update_settings);
 	void set_connect_to_script_mode(bool p_enable);
 	void set_connecting_signal(bool p_enable);