loot / lute are similar-sounding terms with different meanings (referred to as homophones). To better understand the differences, see below for definitions, pronunciation guides, and example sentences using each term. 👇
loot: (noun) goods or money obtained illegally. (verb) take illegally; of intellectual property.
lute: (noun) a substance for packing a joint or coating a porous surface to make it impervious to gas or liquid. (noun) chordophone consisting of a plucked instrument having a pear-shaped body, a usually bent neck, and a fretted fingerboard.
loot: l·UW·t
lute: l·UW·t
(Examples are Wikipedia snippets under the CC ShareAlike 3.0 license. Definitions drawn from WordNet.)