Actually, though I understand your point on velocity, it really doesn't matter what segment of the "public" it gets to. If we define public as populus or populus/business (non-governmental), then the velocity will create itself... and so will inflationary pressures.
It does no good to say that the money supply (evidenced by the St.Louis Fed chart I posted) has increased at a historical level &, therefore, is presently highly inflationary. That's what the definition says that we should say. However the point is that though the chart of expanded money supply is historic, is supposedly inflationary, is supposed to make us pop our eyes wide open... the money is equivalent to being buried in a backyard (bank hoarding) and very little is moving through the monetary system.
When you stop "waiting" and actually want a loan, then this will turn around & they'll dig up the money from the backyard (so to speak). At that point, the money is TRULLY disbursed in the economy.
The good it will do in the economy? It is a matter of what you would do with the loan... would it be good debt (that which, when invested, will reap the cash flow to service the debt) or would it be bad debt (debt which, when invested, does not give the borrower the money to repay the debt).
There we are again... back to the good debt & bad debt conversation! But since you like real estate, my guess is that you would invest in a real estate project that, once completed, would yield a cash flow which would service the debt.
