A 1031 is for investment property exchanges. In the current market conditions sell your home in Paso first. You will have 45 days after the close of escrow on the Paso Home to identify the new slo home and 180 days to close the sale. It is more involved so talk to a 1031 exchange company for more details.

1031 only applies to non-owner occupied property.
Who is advising you in this?
At least do some research on your own on 1031s

The best way to do an exchange is to start with professional advice either from a tax or legal professional. Nobody else is qualified to give you reliable information based on your particular needs.

For starters, you say you are selling a "home" and buying another "home." If the home is your principal residence you would not be doing a 1031 anyway as that form of exchange is used for property held for trade or investment. But don't take my word for it. Call a professional tax or legal person. If you need references I can provide them. If you need a professional Realtor to help with the sale and purchase, that is where I come in. Call me if you need help at 805-748-0021. My name is Ken Taylor.

Hello Chugohome, You would sell your home in Paso and you would have 45 days from close of that escrow to identify a a replacement home and 180 to close escrow on the home in SLO in order to benefit from the IRS 1031 Tax Deferred Exchange. The money from the Paso home can never "touch" your hands so you would use an Exchange Company to hold the money for the replacement property purchase. This is a brief description of how it works. If you want more information you can call me.

Chugohome, you should familiarize yourself with the process and 1031 options you have. This site is a great place to start: http://www.ax1031.com/1031/1031guidelines.php

Best, Steve