The default scale it zooms to should definitely not be 1:1. Can you tell me which dataset you're using (Tele Atlas or NAVTEQ) and give me an example of an address which shows this behavior?
I've attached an image showing the default scale you should see when navigating between two stops.
Also, if you go into 2D mode, what number is displayed above the scale bar? Each time you hit 'Navigate', this should default back to .1 miles in 2d mode.