Why is my library folder greyed out when I view it in the finder?

Press Command Shift . (period)

jaychro wrote:

How do I fix this?

I also have a greyed Trash folder showing up when I open Finder and its never been there before.

You do have the option to show Library from the Finder >GO holding the Option key down, it is hidden by default.

or

Make visible from your Home folder...use the Command J to see the view dialog:

you can drag just about anything to the side bar as well.

Get to know the Finder on your Mac

https://support.apple.com/en-us/HT201732

See and organize your files in the Finder on Mac - Apple ...

https://support.apple.com/guide/mac-help/finder-mchlp2605/mac

It is greyed out since one usually does not change it yourself. The key command already given allow you access to that folder