I like your first and third suggestion but not the second one.
I personally automatically avoid games that have the auto walk to the quest. It is not difficult at all to get to a location for a quest especially with there being a quest marker and information in the quest window.
I could care less either way about auto walk, if it wasn't for the fact that this game has so many damn quests that includes a ton of traveling back and forth, back and forth, and so on.
If you want a game that has a ton of manual traveling, don't put so many quests, and maybe make it so you can actually see the landscape. Can't see hardly a thing around yourself in this game ):
If you want a game with a ton of quests, and still have so much traveling, its very friendly to the players to have the option of auto walking, doesn't even have to be auto-walking directly to quest locations, at least be able to click on the bigger map.
And if you avoid games that have auto walk, that's terrible. That just goes to show that they makers of the game are thinking about their players and wanting to do everything they can to make them happy here n there. Besides its an option. No one forces you to click that button to auto walk. If you wana explore, you can explore, if you wana get things done faster and less tedious involved, well that should be allowed as well.
I'm already level 10 and getting sick of having to walk everywhere, just to realize i missed something and have to go back and continue to walk everywhere yet again. And then again when as I keep leveling up, to get the new quests, just to walk all over the place, yet again.