With it happening on 2 devices, and presuming that connection speeds and dropouts are consistent with the low signal levels reported by the router, then that does not sound normal. First I would try reorienting the antennas (if you haven't already done that). Not likely to be the answer, but easiest to do.
Next I would try another broadcast channel. Do you have a WiFi finder app for your iPod (I know that Apple unilaterally removed them from the App Store a few months ago, but maybe you have a legacy one....talk about arrogance...but that is another issue)? Or do you know someone with an Android phone...the WiFi Trak device for Android is the best I've ever seen for this (it shows the frequency spreads graphically to clearly show overlap). Or does your laptop identify channels when searching for WiFi access points? If so, then scan your area and look for nearby wireless sources on the same or a nearby 2.4 gHz channel. Change your channel to an open one in the 825 firmware.
If you don't see a conflicting WiFi channel, then I would still try switching yours just in case there is a conflict with a different type of device (not WiFi). Just test a couple of different ones blind.
If that doesn't help, then my guess is that it is the router. As you can see from this board, the 825 does not have the most distinguished performance record (although your symptoms are not common on the 2.4 band). If you can return it for another type, you might want to consider that. If not, then I would look to doing a defective return.
Good luck.