No. In Michigan specifically . . .
565.964 Transfer not invalidated by noncompliance.
Sec. 14. A transfer subject to this act shall not be invalidated solely because of the failure of any person to comply with a provision of this act.
It does make the purchase agreement VOIDABLE, meaning that the buyer has 72 hours after receipt of the disclosure to terminate the contract.
That is typical throughout the country, by the way.
To answer your question, Debra, and your response to Joe - the Seller's Disclosure doesn't matter in your case. What you want to do is terminate the contract based on your inspection, and your contract should provide the means to do so. However - in many states, escrow companies are requiring that the seller agree to a rescission of the contract, because escrow companies don't want to be on the hook for interpreting the contract one way, returning your earnest money, and then getting sued by the seller.
Call your agent tomorrow, and ask how you're going to get out of this. If you don't get a satisfactory answer, then call the escrow company on Monday morning, and if that doesn't get you the answer you want, call an attorney.
All the best,