Quote: "i could use static lights which for some reason always stay on but."
Static lighting makes up the lightmapping process which occurs during the time your test level is building. Static lights cannot be dynamic, so they will always be 'on'.
Quote: "but they are really bad, and not very good graphical wise
"
They should be. Try stacking smaller range lights as opposed to placing a large one to a light source. Try experimenting with the color values a bit too. Try a pale gray rather than pure white, for example.
[Static] lightmapping is really what makes a level shine when done correctly. Check your setup.ini and make sure the lightmapquality is set to a decent amount (32 should do it). Other than that, I would recommend finding Wolf's tutorial/guide on proper lightmapping techniques.
Kravenwolf