Walls can be constructed in many different ways, but the bottom line is that they are
part of the buildings external envelope that protects its contents from the elements.
This envelope can fail due to any number of circumstances, whether it be degeneration
of a product, movement of the foundations or the failure in a weatherproofing system.
These will all then allow water to enter the wall cavity and consequently into
the building.
Common Problems:

Concrete block walls fracturing

Construction joints failing

Weatherboards splitting

Poor detailing of flashings around windows

Migration of water past fittings or penetrations

Visible and micro fractures in plaster wall claddings

Brick veneer clad walls not allowing the water to escape
These faults can allow water to migrate behind the cladding and onto the vapour
barrier wrap (building paper in some cases).
Should this vapour barrier have a tear or was incorrectly flashed around the openings, then water may enter the
building cavity.
Solutions can involve:

Waterproofing the wall by coating it with an elastomeric wall coating system

Fitting flashings correctly

Detailing the penetrations, fixtures and fittings

Installation of correct drainage systems