I am having this same problem, I can install 2017.1 fine, but if I perform 'apt dist-upgrade' it will allow me to the login screen in gdm where I can enter my credentials, after that the mouse freezes and no desktop is loaded. If I go to a tty terminal from the gdm login screen I can login.

Any logs you can provide? Since we don't have your specific hardware, we don't have much to go on. Was this issue related to the kernel update to 4.11?

I am currently reinstalling 2017.1, so I will wait for further instructions on what logs you need when that is done. I do suspect that it might be related to the 4.11 kernel, because after a fresh install, the only command I typed was 'apt update' and 'apt install linux-image-amd64' this produced the same screen freezing behavior.

My Specs
i7 7700HQ
GTX 1060 (no drivers installed yet so I guess I'm running nouveau on my intel)
16GB Ram
512 NVMe SSD

Sure, what logs do you need.

Due to the age of the OS (Kali Moto [v1], Kali Safi [v2], Kali Rolling 2016.x/2017.1), these legacy versions are no longer supported.
We will be closing this ticket due to inactivity.

Please could you see if you are able to replicate this issue with the latest version of Kali Linux - https://www.kali.org/downloads/)?

If you are still facing the same problem, feel free to re-open the ticket. If you choose to do this, could you provide more information to the issue you are facing,and also give information about your setup?
For more information, please read: https://kali.training/topic/filing-a-good-bug-report/