Pretty high I'd guess, it becomes an irrelevant economic exercise.

For example, I want to exercise more and get into better shape, but I'm not going to make a big fuss or fret about "hiking XX number of miles per month" or anything like that.

Look at this as a data-gathering exercise also.

"Out lot" sales in a commercial shopping center can be 3 or more years out requiring the all kinds of contingencies.Extending purchase agreements happen everyday, while the term of an extension is usually a few days or a month, there is nothing preventing an agreement to be extended for a longer term or as to any right or option to extend a purchase agreement.One and the main difference between the two contracts is that an Option does not (for a true Option) require performance by the optionee or buyer and a purchase contract requires performance by both parties, bi-lateral and uni-lateral agreements.An option may not have any default provision for performance as exercising the option is up to the buyer, the purchase agreement requires performance and carries penalties for non-performance.

The unit mix is also an issue; you'll get a different tenant base looking for a 3bd than an efficiency, and they might not want to live next to each other.I think you might want to exercise caution and do some more research before you get too excited about this one

The option money usually is counted toward the purchase price if the option buyer does choose to "exercise" the option and buy the house.A key difference is that a land contract (aka contract for deed) buyer has an actual equitable interest in the house.

@Brandon Turner good points on the duration and I will try to lengthen the terms to 12 months with the ability to exercise the option anytime during that period.

Even though you aren't going to buy it the exercise will build up your skills and you risk nothing.

If some benefit to one party was not the intention, as an option to exercise then why is that benefit included?

They have no responsibility to exercise the same personal judgement that they would be expected to do if they were on their own property.