Dont buy a house you cant afford. 170k buys a 750k house MAX. And that would be considered house poor. Do you have 300k to put down in your scenario? If you lose your job, are your parents good for paying 7-10k a month for the foreseeable future?
Why put that much down? That defeats the purpose of all that cash uninvested and defeats the purpose of a mortgage. With the market near all time highs, even for real estate, you're taking a huge risk. Why not rent or buy something a lot cheaper? Rent is preferred if you don't want to commute to accomplish that. Just my .02.
you make a point. I am currently worried that we will entering a long inflationary period where interest rates will stay flat around 2-3%. I also think that there will be less and less viable places to park cash