I've also noticed that it still has trouble snapping to the correct waypoint in certain "really close" situations. It's hard to describe, but I'll try.

Yeah, most car navigation systems seem to use a 'trick' for this. They 'snap' the gps reported location to the closest road which has the correct heading. People that go hiking or offroading have to explicitly disable this feature to get correct position reporting.

I don't want to do something like this until we have full street information available. The current routes really don't have that much information and if we snap the current position to a likely place in the route it would be a bit difficult to find the correct route back after a wrong turn.