A couple of things to check into or fix. I fully agree that the PH is fine, probably even great for the fish you have. The ammonia from the tap is most likely chloramine. there are a couple of good water conditioners that handle chloromine well. the ones most often mentioned are prime and amquel+. With chloramines it is essential that you have tap water conditioner capable of handling them. Standard dechlorinators will break the chlorine down and leave ammonia which is toxic. prime will bind the ammonia into ammonium and protect your fish. Most test kits will not distinguish between ammonia and ammonium, but some will. The important factor is to know what you are dealing with for sure. Find a water test report from your water compnay and see what is in the water. You are at the upper limit of nitrite for fish IMO. ).5 is as high as I would ever want my fish to suffer through. Do lots of water changes to keep this level very low. You will see it rise if the tank is cycling, and you are showing 2ppm of ammonia or ammonium. IF the levels start spiking, a small amount of salt (1/4-1/2 teaspoon per gallon) will help the fish with the nitrite, but either way water changes are the best fix.
Dave