I am a bit confused. I am buying a FSBO house. We first agreed on a price of $118,000. The appraisal came back at $115,000 so the seller lowered the price to $115,000 and we both signed the contract. Now a few weeks later the mortgage company called and said that the appraisal was done incorreclty and the new appraisal amount is $120,000 so I need to go back to the $118,000 price. Can they do that?? I thought we were in a binding contract at $115,000.