I have a dilemma here. I started taking voice lessons about a year ago. The teacher is a very attractive punk rocker that I immediately was attracted to. I've been going back and forth whether to chance asking her out. She seems interested (it isn't unusual for us to spend half the lesson talking about things other than the lesson). One day she remarked how she was deciding whether to wear a watch or not, so I got her a watch "in appreciation" of her giving me voice lessons. I thought she was going to cry when I gave it to her. She wears it all the time now. I also remembered her birthday, and got her a gift. She bakes me cupcakes on occasion. We seem to have a lot in common. I'm hesitant to ask her out for two main reasons:
1. I'm afraid I'm misreading the signals and don't want to create a situation where seeing her becomes awkward.
2. I'm older than her. She's 25, I'm 42. I really don't want her to look at me like some creepy older guy trying to hit on her.
I also don't want to wait on this. It seems like she has interest in me, and if there is a chance, I don't want to get in, and end up languishing in, the friend zone. Any advice?

Personally, I'd go for it. Sounds like you have some good chemistry and based on what you wrote sounds like you got a good chance. If you still have doubts, you have two options: A) you create sexual tension between the two of you and see how she reacts to that escalation. Or B) invite her to something that is not a date. I mean invite her to something you could go as friends, like a concert, exhibition, sports event, or something that you are both intersted in, this will give you a chance to further explore how you stand without the pressure of a "formal" date.

Good hunt and let us know how it went.