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I am sorry this happened to you.
Generally the law with respect to the purchase of homes is that the purchaser has the right to inspect the home for defects. If the Purchaser decides to buy the home then generally the law can be summed up by the well known phrase "buyer beware." The legal phrase for this is the Latin phrase caveat emptor.However, at the same time the Vendor is not permitted to misrepresent, fail to disclose or actively try to hide defects.As well the vendor has a duty to disclose a latent defect if it's substantial. This usually includes defects that render the premises uninhabitable or unfit for the use the Purchaser is planning for. It would also include the situation where the cost to repair is going to be substantial as well.Your next step then may be to sit down with a lawyer and review all the relevant facts with the lawyer. Bring in all the documentation of course, including the inspection report. It may be that you will have a case against the Vendor or the inspector.