You can lockpick loic's basement and then grab 2 bloodstones. The demon is in the 7th room in your homestead. By the time you leave cyceal you would have found 5 in total, with the 2 from the basement makes 7. However do not waste both bloodstones, make sure to follow the trail of blood in lucalla forest first, which leads to a quest that requires you to use a bloodstone.
