What part of the US do you live in that house prices are still depressed $150k since the bubble (on a house that costs presumably less than $800k)? In most cities prices have come back up, I think.
Keep in mind... you have 34 years until you're 65. That's a lot of years of investment interest, additional income, and inflation away from OP's proposed $1mil figure.
My townhouse was in the western Chicago suburbs. My builder went bankrupt, and the land was sold at fire sale prices to M/I Homes, who then proceeded to sell their townhomes for a little less than half of what I paid.
At the time, I was in a pretty rough place. Now I'm in a much better place, short selling it to get out from underneath it, my credit score has recovered, etc.
Keep in mind... you have 34 years until you're 65. That's a lot of years of investment interest, additional income, and inflation away from OP's proposed $1mil figure.