Backing out of a deal after inspection contingency expired

[Olivier M Ouedraogo]

So we are under contact with a house built in 1904. The purchase price is 115k. Seems like a good deal because it will cash flow. The main problem is with the repairs. We relied on 2 contractors who estimated the repairs to about 50k which would work (even at 60k). They both have good referrals and work with investors but because they didn't want to give detailed scope of work, we looked for another contractor who flips about 20 houses a year in the area and has good referrals. He suggested we walk away because 50k would just be a bandaid. To bring it up to an okay condition he thinks it will cost about 100k. Plus we contacted a PM who thinks only section8 would rent there because of crime. It would still cash flow even if Section8 but only if the repairs remain under 60k. The inspection report indicates bowed/out of plumb foundation walls and floor structure issues which the 2 contractors (one of these guys think they can bring floors up at least 85%) think is not a big deal but not the 3rd one. The roof is a rubber flat roof, the 2 think they can just patch it and it would be okay for another 5 to 10 yrs and the 3rd think it should be replaced. It has no cooling and only has baseboard heat so not sure about ductwork. The 3rd contractor thinks we need to replace all the water pipes because of the age of the house since they are probably lead pipes.

What would you do? This is our first deal, we should be closing in about 2 weeks and are freaking out. Our agent is saying that at this point we can't walk away without opening ourselves up to legal actions.