Hey Mark,
We have seen instances where TFS can be slow under certain circumstances. Visual Studio and TOAD use different technologies to communicate with a TFS server. Visual Studio uses .NET libraries whereas TOAD's TFS client makes direct SOAP API calls. One of the scenarios we've seen is when TOAD is run within a virtual machine. In that situation, there can be a delay as the commands being issued are re-routed through the virtual network. Also, if you have VCS debug logging enabled, or you have selected to show VCS command output window, that can slow the performance as every command and response is being captured and logged.
Can you send me, off-line or through a private message on ToadWorld, screenshots of each tab in your TFS configuration window? That may help to track down what might be happening.
Thanks!
-John