Isn't New York a disclosure state? You did know about the termite infestation -
did the owner say anything about the sagging?

Not specifically, but it's pretty obvious if you look. I noticed it
and it is in the inspector's report, just didn't think much of it at
the time - figured it was just an old house. Now that I'm actually the
owner, though, and now that I can see the pattern of the sagging
(around the fireplace), I've just gotten a little obssessive about it.
Every day now I manage to convince myself that things are a little more
off-kilter than the day before.

I wouldn't blame the previous owners for not telling us about the
settling. I'm not even sure it's related to the termites (as Roger
said, they were probably down below - which is what the old owners told
us). I think it's probably more likely some old water damage, or it
could be regular settling for all I know - this is the first old house
I've owned.

the bigger problem (as in most likely) in the northeast is carpenter ants.

I don't think we've got ants - haven't seen a single bug of any kind
since we moved in. Apparently the pesticide they used for the termites
is now outlawed and it's got a half-life of something like 100 years.
Don't know if that's responsible for the absence of all bugs but with
as many little cracks in the wall and at the seams as there are (and
there are quite a few, it's just that most of them are old and look
like regular settling cracks), I'd have thought I'd have seen some
action of some kind if we do have bugs crawling through our walls.

Anyway, I think I will call an engineer - it's another headache to deal
with and even if he gives us good news I'll probably feel like I just
wasted a few hundred bucks (since he'd be telling us the same thing as
the first inspector did), but at least it'll put my mind at ease for a
while...