They will try to keep your deposit(even after you win the case against the seller; I am pretty sure about this).
For the failure of proper disclosure, I think you have a good chance of winning.
This is not the time of worrying about legal fees. You have no choice.
Next time remember always to put at least these contingincies: 1. Attorney's approval. 2. Morgage. 3. Property inspection.
You may also consider sue your buyer''s agent (consult this with your attorney) for failure to inform you the regular business practice.