Nuria
4
Though this patch probably topped every other implayable patch up until know. I only started with age of war (2) yesterday and was wondering about the heavy lags. At first everything was normal. Just 5 mins later, as I ran some distance and stuff got loaded while other disappeared from vision, the lags began. There is at least one mod with deadly spike traps. I died because those didnt get loaded. 
To you, Resistofdoom:
No, this is not the usual state, especially not if the server is unmodded.
Usually one can play just perfectly. Certain mods make it a little laggier but if you look around, there are quite a few reports on heavy lags.