Yes, yes, yes and yes. A lease option or a lease purchase like any other agreement depends on the terms that you signed. They can vary alot depending on the terms. Generally people that go into lease option/purchases fall into 2 categories:
1) People who are working on improving their credit because they don't like the rate they were quoted or can't qualify at this time.
2) People that don't want to commit to a house or a certain area and want to try it out or rent it first.
Again depending the terms, generally the differences between the two are this:
Lease Option: You lease the property with the "OPTION" to purchase it at a later date specified on the contract. You are NOT obligated to buy it. Usually there is a deposit associated and you may or may not loose it if you don't exercise your option to purchase (depending on your contract). You might also have the ability of renewing your lease when the option expires.
Lease Purchase: You lease a property with the idea of buying it at a later date specified on the contract. Here you are obligated to buy it unless you don't credit qualify. Again, there is usually a deposit involve which you may or may not loose.
The most important thing about these is to KNOW what you are getting yourself into. Here is where a good Realtor, savvy investor or attorney can lend a helping hand navigate through the legal mumbo. When people get themselves in trouble it's because they don't fully understand what they were signing. Lease option/purchases are good for those that need them. If you do qualify for a home, I think purchasing is a much better option, personally.