Cancel the current contract, ask for a new one at $238K, and tell the buyer to find a lender will get it appraised for that number. The buyer may still have plenty of options for financing, including THEM ponying up the dinero to cover the difference between appraisal($212) and your loan($238), or a net of $26K. The buyer was obviously willing to buy for $250, now they just have to figure out who will help them do it at $238k…
