I use sandalwood paste for its aromatherapy effects. I purchase mine from the Indian grocery as they have a very affordable one imported from India.
I like the scent and using just a little bit on my forehead or under my nose calms me down. I only use it at home, so I use it in the evening or on the weekend. It's also wonderful to use during meditation because it's relaxing for the body but keeps the mind alert.
I've heard that sandalwood paste may also help with skin conditions or sinus problems but I'm not sure. I've not used it for these purposes.