Real estate transactions can get pretty messy. When the day comes to exchange keys and handshakes, the whole process can be delayed if something's missing. This happens more than you might think. In a survey earlier this year, the National Association of Realtors^® found that 10 to 14 percent of real estate deals fail and a further 20 percent experience delays.

Thankfully, the types of problems which commonly ruin deals fall into several categories: document errors, missing money and last minute defects in the house. By paying attention to these areas, your real estate deal can avoid ending up like so many of the less fortunate ones.

Pay Attention to the Details

Real estate deals require a lot of paperwork — and it's easy to let something as small as a wrong letter or number make its way onto the final document. Unfortunately, these kinds of mistakes can result in unnecessary delays. Many issues can arise when people don’t check the amount of money in a loan, the spelling of an address or even their own name.

Always double-check your paperwork to ensure the correct information appears on the documents. Ask questions if something seems unusual and don't assume your agent will notice something wrong. You can easily change document errors if you catch them early. Ultimately, make sure you review all the documents before the final day of sale to prevent complications from arising.

Don't Bank On It

During real estate transactions, sometimes the money doesn't get to where it needs to be. People trust that banks will quickly process their requests and won't make mistakes. Unfortunately, banks are often slow and accident-prone. Don't wait until the day before to do anything. If you’re buying a house, you should always have the payment ready long before you need it. You can also consider wiring the money to the closing agent several days in advance.

Another solution involves preparing a cashiers or certified check for more than the full amount of the house, which you can bring to the sale. You may want to consider overpaying slightly in case any unforeseeable issues arise during the sale — you'll get any money you overpay returned to you as a refund.

Also, if you're buying a house using a loan, make sure it has been fully approved. Almost everyone who buys a property needs some sort of financing. The loan must also be approved for the specific type of property. Sometimes, banks preapprove customers based on income and credit. However, this may not permit the purchase of all types of property. If you're selling your house, it's smart to add a stipulation that the buyer needs an unconditional mortgage approval to make sure their loan will go through as planned.

Problems with mortgages also happen with sellers. If you're selling your house and still owe money on a previous mortgage, you'll need to pay it off. Thankfully, the money you'll get for your house will do that for you. After you deduct your mortgage from the sale price, you're done! This is called discharging the mortgage. You now possess the Certificate of Title, which you can pass on to the buyer.

Look Closely for Defects

If you’re with your agent and you notice something wrong with the house, it's good that you found the flaw. Throughout the sale of a house, a third-party inspector always examines the state of the property to assess any damage. If the inspector finds a problem, the seller can pay to have the issue fixed or can deduct the amount of money from the home’s price so the new owner can rent the equipment to fix the issue. However, inspectors can sometimes miss details, or the property can be damaged after their inspection.

If you find a defect, have your agent negotiate how the seller will pay for the repair. The seller will likely agree to pay more of the eventual agent fees to compensate the buyer. The seller may also work out another solution. For example, a Toronto buyer discovered a family of skunks under the porch of a house on the day of sale. The seller simply paid $250 to have them removed.

Other issues may involve a lien on the property or whether the owner has the legal right to sell the house. Learn everything you can about the house you intend to buy. Is the house zoned correctly? What is the history of past ownership? If you do your homework, prepare for everything and double-check the paperwork, your real estate sale will go smoothly.