Thanks a lot. I thought this was going a little too fast, but I've never had a dog before so you listen to other dog owners. I also realize he needs to be crate trained regardless of housebreaking him.
I think the problem with "do it now and soon" was with my neighbor who's not the nicest guy in the world, but does have some beautiful show dogs. When I told my girlfriend he won't go in, she said, "He's only 3 lbs! Just put him in there." She's a sweet girl, but her dog isn't the best trained in the world. Great dog, however.
I'll start over using your guidelines. I think the treat/gentle way is the best, even if it takes more time. I'm just really happy he's going outside and don't want to screw that up.
It's also hard for me to be anything but kind and praising with him. I mean, look at that face. I have to learn to be more of a master than a wuss, but it's hard.
