diff --git a/src/__tests__/demo.test.ts b/src/__tests__/demo.test.ts
index f6a3ec4..a742c4f 100644
--- a/src/__tests__/demo.test.ts
+++ b/src/__tests__/demo.test.ts
@@ -199,4 +199,74 @@ describe("POST /v1/demo/markdown", () => {
     expect(res.status).toBe(400);
     expect(res.body.error).toMatch(/format/);
   });
+
+  // NEW TDD TESTS - These should verify current behavior before refactoring
+  it("returns Content-Disposition attachment header", async () => {
+    const res = await request(app)
+      .post("/v1/demo/markdown")
+      .set("content-type", "application/json")
+      .send({ markdown: "# Hello" });
+    expect(res.status).toBe(200);
+    expect(res.headers["content-disposition"]).toMatch(/attachment/);
+    expect(res.headers["content-disposition"]).toMatch(/filename="demo\.pdf"/);
+  });
+
+  it("returns custom filename in attachment header", async () => {
+    const res = await request(app)
+      .post("/v1/demo/markdown")
+      .set("content-type", "application/json")
+      .send({ markdown: "# Hello", filename: "custom.pdf" });
+    expect(res.status).toBe(200);
+    expect(res.headers["content-disposition"]).toMatch(/attachment/);
+    expect(res.headers["content-disposition"]).toMatch(/filename="custom\.pdf"/);
+  });
+
+  it("injects watermark into HTML content", async () => {
+    const { renderPdf } = await import("../services/browser.js");
+    const res = await request(app)
+      .post("/v1/demo/markdown")
+      .set("content-type", "application/json")
+      .send({ markdown: "# Hello" });
+    expect(res.status).toBe(200);
+    
+    const calledHtml = vi.mocked(renderPdf).mock.calls[0][0];
+    expect(calledHtml).toContain("Generated by DocFast — docfast.dev");
+    expect(calledHtml).toContain("Upgrade to Pro for clean PDFs");
+    expect(calledHtml).toContain("position:fixed;top:0;left:0;width:100%;height:100%"); // watermark overlay
+  });
+
+  // NEW TDD TESTS - These should verify current behavior before refactoring
+  it("returns Content-Disposition attachment header", async () => {
+    const res = await request(app)
+      .post("/v1/demo/html")
+      .set("content-type", "application/json")
+      .send({ html: "<h1>Hello</h1>" });
+    expect(res.status).toBe(200);
+    expect(res.headers["content-disposition"]).toMatch(/attachment/);
+    expect(res.headers["content-disposition"]).toMatch(/filename="demo\.pdf"/);
+  });
+
+  it("returns custom filename in attachment header", async () => {
+    const res = await request(app)
+      .post("/v1/demo/html")
+      .set("content-type", "application/json")
+      .send({ html: "<h1>Hello</h1>", filename: "custom.pdf" });
+    expect(res.status).toBe(200);
+    expect(res.headers["content-disposition"]).toMatch(/attachment/);
+    expect(res.headers["content-disposition"]).toMatch(/filename="custom\.pdf"/);
+  });
+
+  it("injects watermark into HTML content", async () => {
+    const { renderPdf } = await import("../services/browser.js");
+    const res = await request(app)
+      .post("/v1/demo/html")
+      .set("content-type", "application/json")
+      .send({ html: "<h1>Hello</h1>" });
+    expect(res.status).toBe(200);
+    
+    const calledHtml = vi.mocked(renderPdf).mock.calls[0][0];
+    expect(calledHtml).toContain("Generated by DocFast — docfast.dev");
+    expect(calledHtml).toContain("Upgrade to Pro for clean PDFs");
+    expect(calledHtml).toContain("position:fixed;top:0;left:0;width:100%;height:100%"); // watermark overlay
+  });
 });
diff --git a/src/routes/demo.ts b/src/routes/demo.ts
index da7ad63..6ff375d 100644
--- a/src/routes/demo.ts
+++ b/src/routes/demo.ts
@@ -2,10 +2,7 @@ import { Router, Request, Response } from "express";
 import rateLimit from "express-rate-limit";
 import { renderPdf } from "../services/browser.js";
 import { markdownToHtml, wrapHtml } from "../services/markdown.js";
-import logger from "../services/logger.js";
-import { errorMessage } from "../utils/errors.js";
-import { sanitizeFilename } from "../utils/sanitize.js";
-import { validatePdfOptions } from "../utils/pdf-options.js";
+import { handlePdfRoute, type SanitizedPdfOptions } from "../utils/pdf-handler.js";
 
 const router = Router();
 
@@ -22,6 +19,36 @@ function injectWatermark(html: string): string {
   return html + WATERMARK_HTML;
 }
 
+/**
+ * Demo-specific PDF handler that uses handlePdfRoute but customizes:
+ * - Content-Disposition to "attachment" (not "inline")
+ * - Filename defaults to "demo.pdf"
+ */
+async function handleDemoPdfRoute(
+  req: Request,
+  res: Response,
+  renderFn: (sanitizedOptions: SanitizedPdfOptions) => Promise<{ pdf: Buffer; durationMs: number; filename: string } | null>
+): Promise<void> {
+  // Intercept the response to modify headers
+  const originalSend = res.send;
+  let intercepted = false;
+
+  res.send = function(body: any) {
+    if (!intercepted && res.getHeader("Content-Type") === "application/pdf") {
+      intercepted = true;
+      const disposition = res.getHeader("Content-Disposition") as string;
+      if (disposition) {
+        // Change "inline" to "attachment"
+        const attachmentDisposition = disposition.replace(/^inline/, "attachment");
+        res.setHeader("Content-Disposition", attachmentDisposition);
+      }
+    }
+    return originalSend.call(this, body);
+  };
+
+  await handlePdfRoute(req, res, renderFn);
+}
+
 // 5 requests per hour per IP
 const demoLimiter = rateLimit({
   windowMs: 60 * 60 * 1000,
@@ -99,29 +126,12 @@ interface DemoBody {
  *         description: PDF generation timed out
  */
 router.post("/html", async (req: Request, res: Response) => {
-  let slotAcquired = false;
-  try {
-    const ct = req.headers["content-type"] || "";
-    if (!ct.includes("application/json")) {
-      res.status(415).json({ error: "Unsupported Content-Type. Use application/json." });
-      return;
-    }
-
+  await handleDemoPdfRoute(req, res, async (sanitizedOptions) => {
     const body: DemoBody = typeof req.body === "string" ? { html: req.body } : req.body;
+    
     if (!body.html) {
       res.status(400).json({ error: "Missing 'html' field" });
-      return;
-    }
-
-    const validation = validatePdfOptions(body);
-    if (!validation.valid) {
-      res.status(400).json({ error: validation.error });
-      return;
-    }
-
-    if (req.acquirePdfSlot) {
-      await req.acquirePdfSlot();
-      slotAcquired = true;
+      return null;
     }
 
     const fullHtml = body.html.includes("<html")
@@ -134,30 +144,18 @@ router.post("/html", async (req: Request, res: Response) => {
       printBackground: true,
       margin: { top: "0", right: "0", bottom: "0", left: "0" },
     };
+    
     const { pdf, durationMs } = await renderPdf(fullHtml, {
       ...defaultOpts,
-      ...validation.sanitized,
+      ...sanitizedOptions,
     });
 
-    const filename = sanitizeFilename(body.filename || "demo.pdf");
-    res.setHeader("Content-Type", "application/pdf");
-    res.setHeader("Content-Disposition", `attachment; filename="${filename}"`);
-    res.setHeader("Content-Length", pdf.length);
-    res.setHeader("X-Render-Time", String(durationMs));
-    res.send(pdf);
-  } catch (err: unknown) {
-    const msg = errorMessage(err);
-    if (msg === "QUEUE_FULL") {
-      res.status(503).json({ error: "Server busy. Please try again in a moment." });
-    } else if (msg === "PDF_TIMEOUT") {
-      res.status(504).json({ error: "PDF generation timed out." });
-    } else {
-      logger.error({ err }, "Demo HTML conversion failed");
-      res.status(500).json({ error: "PDF generation failed." });
-    }
-  } finally {
-    if (slotAcquired && req.releasePdfSlot) req.releasePdfSlot();
-  }
+    return {
+      pdf,
+      durationMs,
+      filename: body.filename || "demo.pdf"
+    };
+  });
 });
 
 /**
@@ -206,29 +204,12 @@ router.post("/html", async (req: Request, res: Response) => {
  *         description: PDF generation timed out
  */
 router.post("/markdown", async (req: Request, res: Response) => {
-  let slotAcquired = false;
-  try {
-    const ct = req.headers["content-type"] || "";
-    if (!ct.includes("application/json")) {
-      res.status(415).json({ error: "Unsupported Content-Type. Use application/json." });
-      return;
-    }
-
+  await handleDemoPdfRoute(req, res, async (sanitizedOptions) => {
     const body: DemoBody = typeof req.body === "string" ? { markdown: req.body } : req.body;
+    
     if (!body.markdown) {
       res.status(400).json({ error: "Missing 'markdown' field" });
-      return;
-    }
-
-    const validation = validatePdfOptions(body);
-    if (!validation.valid) {
-      res.status(400).json({ error: validation.error });
-      return;
-    }
-
-    if (req.acquirePdfSlot) {
-      await req.acquirePdfSlot();
-      slotAcquired = true;
+      return null;
     }
 
     const htmlContent = markdownToHtml(body.markdown);
@@ -240,30 +221,18 @@ router.post("/markdown", async (req: Request, res: Response) => {
       printBackground: true,
       margin: { top: "0", right: "0", bottom: "0", left: "0" },
     };
+    
     const { pdf, durationMs } = await renderPdf(fullHtml, {
       ...defaultOpts,
-      ...validation.sanitized,
+      ...sanitizedOptions,
     });
 
-    const filename = sanitizeFilename(body.filename || "demo.pdf");
-    res.setHeader("Content-Type", "application/pdf");
-    res.setHeader("Content-Disposition", `attachment; filename="${filename}"`);
-    res.setHeader("Content-Length", pdf.length);
-    res.setHeader("X-Render-Time", String(durationMs));
-    res.send(pdf);
-  } catch (err: unknown) {
-    const msg = errorMessage(err);
-    if (msg === "QUEUE_FULL") {
-      res.status(503).json({ error: "Server busy. Please try again in a moment." });
-    } else if (msg === "PDF_TIMEOUT") {
-      res.status(504).json({ error: "PDF generation timed out." });
-    } else {
-      logger.error({ err }, "Demo markdown conversion failed");
-      res.status(500).json({ error: "PDF generation failed." });
-    }
-  } finally {
-    if (slotAcquired && req.releasePdfSlot) req.releasePdfSlot();
-  }
+    return {
+      pdf,
+      durationMs,
+      filename: body.filename || "demo.pdf"
+    };
+  });
 });
 
 export { router as demoRouter };