The Scrub Jay mitigation costs about $2,200 from what I've been told.

We made sure we were well-insured and had professional property management to mitigate risk.

Mitigate risk as much as possible when you get started, but keep pushing through even when the returns aren't exactly what you expected.

@Damarius Gilbert - from my experience the high cash flows mitigated the risk of PCS/TDY lease breaks.

I'm definitely taking my time to learn, figure out how to mitigate risks as much as possible and try work that into a pricing modeling. 

And depreciation is exactly what you said - a gift and a trap.If depreciation is planned for and mitigated through series of 1031 exchanges over the years you've achieved two things - First you've received hundreds of thousands of dollars in tax relief by taking the benefit without having to pay that back. 

As mentioned above the rents should grow fast but taxes also will grow you can mitigate this by buying a 3/4 unit where rents are a much larger portion then taxes and will make you cashflow go up over time.

One mitigator that my clients have used in your situation is to only buy  two replacements to satisfy the initial exchange. 

I think how we are now mitigating our risks. is its not pre 08 were i would have started 5 specs a month and kept going.. with NO pre sales.. now we have pre sales buyers have large non refundable deposits once permits are issued and right now not doing more than 5 to 8 specs at one time..

I am looking for a real estate specific tax professional who own properties themselves and knows the in's and out's of accelerated depreciation/normal depreciation, solo 401k's, and other ways to mitigate taxes due at the end of the tax year in Madison Wisconsin area.