Nobody does it because they go 4/5 right off the bat, or they do 2/3, discover it's not low enough, then go 4/5 by getting DJM arms and putting the stock shackle back in.
Don't hack job it....get 2" lowering coils(DJM or Roush or Belltech). Do it right.
Yes, that rear kit is good for 3" and it's what's included in the 2/3 kit. Don't install the shackles and that'll be 5" drop.
That $400 DJM 2/3 kit includes the shorter shocks you'll need....I don't think you considered that into the price adding up of individual pieces.
'01 XLT disguised as a '03 Fx4 Level II.