I understand that if this option was used, then the landlord couldn't try and collect any further damages for breaking the lease.

CR review:  look for 30,60,90 lates - - this is real life for this prospect (should be none for 6 mo)look at collections - - how far back is the NEWEST onewhat kinds of accounts are being stiffed - - utilities, cellphones (ouch).Look at Public Records for the codes which you can look up for the offense.

As of Feb.1 I collected the first month's rent ever and it was an exhilarating feeling.

Currently I have one of the tenants collect the rent for me and he can do most minor maintenance.

They get about 10 deals a month but because they have such an extensive buyer list as a result of the signs, they can find a buyer for almost any lousy deal that comes along.

A couple I still hand collect once a month.

What I would do is hand all the paperwork over to a collections agency and let them make the daughters life miserable for awhile.  

The  reality is you may REQUEST an extension, but it doesn't have to be honored, and of course both parties waste time and effort. 

As a side note, also, most banks will give you an inspection contingency period, but they do not want to collect any option money at all.

However, a quick call to your local lenders (and I do mean lenders, call up half a dozen or so for an overview of your region) should be able to answer that question.I will say, for the path that I outlined above and with your goal of quickly scaling up to large multifamily properties, the limit on the number of loans you can hold should not come into play as your purpose for buying them is not to build an extensive portfolio, but to gain hands-on experience.