I'm a newbie but planning on avoiding raw land only because I don't see it selling.

I would steer clear of hard and fast rules like the 70% rule in general, they are too broad and don't work in a lot of markets in Southern California for example there is no way you are getting a house at 70% ARV -expenses unless it is off market and you are comfortable taking advantage of someone, or maybe raw land. 

So just bought a nice 2 acre piece of raw land to flip and not sure what to do with the storage shed (image attached) that's on it.

I am considering doing a 1031 exchange for two properties (1) a SFR ($230Kish) I will turn to a shor term rental (STR) and (2) about 27 acres ($200K) of raw timber land I would subdivide and develop into more SFR-STRs within the next three years. 

Garland, Rowlett, or Little Elm PonderYou're pretty late to the flip game with that type of budget...Not saying it can't be done, but there's no low hanging fruit esp with a wholesaler fee on top of it...

I respectfully disagree and here are the reasons why:In terms of raw CASH FLOW, #4 may be worse than borrowing. 

The mortgage guys really hurting are the ones that built their practice on the low hanging fruit house of cards of artificially low rates, which is rate and term refinance business from a call center cubicle thingie.

It would be easy to do a "mini" cost seg though and take the low hanging fruit. 

in some areas  yes the low hanging fruit has been picked.but there is always deals to be had for those with cash..

Make me move is not proving fruitful, Darrell.