Need Help

I am going to close a REO house. It's about $51,000. I had foundation companies checked the house. One came back is just a few cracks. The bowed wall is from original build. Nothing to concern about. So I didn't pay attention to the issue.

Another foundation company did the estimate and didn't call me for the result. I found out today they thought the wall needs carbon fiber stablization. It is going to cost $3500 to repair.

Quesion is tomorrow is going to be closed. If I walked out now what will be my loss.

I had $1000 dollar earnest. Do I have to cover the title company's loss?