Most people rush to upgrade their Town Halls as fast as possible. Doing this unlocks new buildings, defenses, upgrades, and -- most importantly -- more Walls. What you should also know is that by upgrading your Town hall Clash of clans, you decrease the percentage of loot you get from raids when attacking lower level Town Halls. Most people don't realize that when you attack a lower level Town Hall get a lower than normal percentage of the loot.
A problem arises if you have level 8 Town Hall and you're used to farming at 1200 Trophies. In this situation you're getting less Gold and Elixir since you're attacking lower level Town Halls.
- Upgrade your defensive towers to their Max level and your walls to at least Max – 1 level before upgrading your Town Hall. This will help reduce the amount of loot you will lose to raids. One of your barracks should always be maxed before upgrading the Town Hall.
- Upgrading your Town Hall too fast can reduce the amount of loot you get per raid.
- Town Hall 7 to Town Hall 8 upgrade seems to be a shifting point. When upgrading to Town Hall 8, be prepared to see less Loot per attack at 1200 Trophies.
- The Max Level for the Town Hall is 10.
- The Town Hall unlocks additional buildings and unit within those buildings.
- Town Hall levels determine the percentage of loot you get when attacking.
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When attacking, keep in mind the level of the opponent’s Town Hall. Attacking a higher level Town Hall will net you more resources as opposed to attacking a lower level Town Hall.
- Attacking a Town Hall that is +2 Levels above you will give 150% of the available loot.
- Attacking a Town Hall that is -2 Levels below you will give 50% of the available loot.
Here is a visual representation: