I like the idea of loot being tied to the rest of the the game systems and such, but I feel like unless they've already been working on something like that its probably not going to happen because it would be too big of a change at this point. Repairing seems to be a decent idea but how would they implement that exactly, would it be free to repair or require a bit of resources, if it requires resources than what's the point if you can just spend resources to buy stuff, once you hit clan level 4 money usually isn't that big of an issue anymore, you can go buy almost all the high level stuff for yourself.
I think the problem actually isn't even that you don't get high tier stuff. After playing for a while I actually did get some high tier things, but the problem is all those things are damaged, i.e. cracked or rusty or whatever, which makes them virtually useless, I can spend a couple of thousand and get some armor or weapons that are lower tier but have higher armor/damage output than the damaged loot, which makes them only good for selling. I think unless they are going to rework the whole loot thing, the best thing might be to increase the stats of damaged stuff, so at least they are useful mid game. I feel like it used to be like that in Warband at least, and maybe in Bannerlord early on, but I can't remember exactly, I just feel like I was never annoyed at loot until the last few versions of Bannerlord.
My idea and a lot of ideas here though are just kind of Band-Aids I think, late game once you and your companions are kitted out loot becomes useless again. Would've been nice if there was some kind of system where that didn't happen, but the only one I can think of is that you'd use loot to upgrade troops kind of like horses with cav, but I feel like that would probably be pretty annoying in practice.