!!At the moment WoW Emulations Servers are still away from beeing Blizzlike.!!
It's the fault of the Database.
You can fix the Database yourself by manually deleting ,spawning or batch a new one into your Mysql.
The Lootlag could be a Client oder a Core Problem.
Try Updating the Core with a newer Version.
Or try Updating the Client with Version 2.0.12.
Possible Solution to your Problem :
Update your WoW Client to 2.0.12
then download in this Thread by Tairon the Second Download link.
Batch the Mangos.sql and the realmd.sql into your Mysql.
Copy the downloaded Revisionfiles in your Server Folder.
Then Configure your Server like you did, with mangos.conf etc... ^^
Maybe this should work.
greets,
Phanaster