Average HP and peak HP are two different things.
Average HP will probably be better with 185s than with 205s.
Peak HP will certainly be better with the 205s.
With a carb, I'd probably go with 205s too, but for sure I'd go with the victor Jr or even a Parker. Don't make the mistake of putting a restrictive intake on your awesome heads.
Also a mighty demon 825 flows about 900 cfm and is enough carb for 400+ cubic inches with 7000 rpms, what kinda motor is this going on? If it is going on a 302 or 347 a mighty demon 650 or 750 is better suited and will run a lot better on the street (more vacuum signal).