I think most people would say option 1 would give you what you want. The jump to 7.1 seems to have limited value except in certain rare circumstances. It might help to see your exact room layout.
I'm sure the in/on-wall speakers would work as surrounds. I think it all comes down to distance. Closer to the seating area, and I think the QS8s would serve you better, further away, and maybe the in/on-walls would work better. At least that's what I gather from what I've read. I've only ever had my surround speakers fairly close to the seating area.
Of course you should wait for more responses from more informed people.
I was debating with what to buy for surrounds myself, as I didn't know how far my rear surrounds would be, but I finally decided to get QS8s all-around and keep them at appropriate distances by ceiling mounting them.
