Regarding Walkthrough vs. Home inspection:

Walkthrough items are items that MUST be addressed by the seller, as per paragraph 7 of the ratified sales contract. Anything plumbing, electrical or appliance related falls into this category. The seller does not have a choice - those items have to be working at the date of settlement.

Home inspection items are negotiable. We give the seller our list of items, and he either agrees to them or counters us back with the ones he'll fix. A negotiation takes place back & forth until both parties agree. If the parties can't come to an agreement, the contract can be voided.

You can also read this FAQ that goes into much more detail on the home inspection process.