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We'd definitely buy a house first, then probably invest the rest. I would also want to give a nice donation to a private school in our area for kids with Down Syndrome and to each of my girls' orphanages in China.
We'd give $55k to each of the extended families (to avoid gift taxes... $11k per year, or $55k one time in 5 years), we'd pay off the house, I'd give some to my church, and the rest would go straight to savings.