National Featured Realtor and Consultant, Texas Mortgage Loan Officer, Credit Repair Lecturer
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The seller's responsibility is to disclose all "known" facts that materially effect the property. While the buyer may conduct an inspection and final walk through to evaluate the condition of the property.
Our recommendation is to begin by reviewing your situation with the home inspector.
The first step I would recommend is to have the property inspector that you hired take a second look at the damage. They will need to determine if this was a pre-existing condition. If this was a pre-existing condition and the inspector just missed it, then you can ask for the inspection company to cover the cost of the damage. If you fix it and then try to have the inspector take a look at it, it will make it less likely to determine if this damage was pre-existing. If the inspection company gives you hard time, then I would recommend that you contact an Attorney that specializes in Real Estate law. Good luck!