In many novels, there are stories about Transformed Demons that can take human form, and to some extent, it's understood that demons capable of transformation are powerful creatures.
The standard challenge level of Salamanders is 5. The Salamanders living on the Volcanic Island, which Leon has long since transformed into a feng shui treasure land, undoubtedly have a higher challenge level. Even so, they certainly don't qualify as Transformed Demons… To be called a Transformed Demon, one would at least need to be on the level of the Efreeti. Even the Efreeti can barely qualify.
Take a look at that Salamander—it's only barely humanoid. Its head is still the head of a Salamander, its arms covered in scales, and its skin is fiery red all over. It's still far from truly taking human form.
