First of all, congratulations for having the Appraisal Contingency. Follow the clauses in your appraisal Contingency. You should have an option to buy, have the Seller lower the price to the appraised value or negotiate the difference, or simple walk away.
You may ask your Agent for a Market Analysis for Buyers on the property of your interest as a caution.
I believe that with this strategy, you've got yourself well covered.
Best Wishes Gab,