Legal Question in Real Estate Law in California

It depends on whether your contract had an appraisal contingency. You 'll need to consult your real estate agent about that.

What contingencies, if any, are written into your purchase agreement? It's fairly common to make the purchase commitment contingent on getting financing. A contingency based on the results of an appraisal is less common. If you have an appraisal contingency, you should be fine if the appraisal meets the agreement's requirements. Otherwise, maybe the low appraisal will make it impossible for you to get financing, despite diligent efforts. In that case, your performance of the purchase agreement might be excused by the financing contingency.