Hey there, The best way (and the way I look at it) is like a book. The title of your page is the title, then from there you have chapters (H1) then perhaps sub-chapters (h2) and so forth. Each is relevant in how it breaks down but also wouldn't work the other way around so much.
Some developers are a tad lazy and they will code the size of an h tag so when creating the page instead of actually coding it to match a design they may well use the h tags to help as it 'looks' right but then you may be internally screaming at the way it works over the look. Welcome to SEO where you may be stuck between design and development!
H1 is 'meant to be more powerful and shouldn't be overused on a page as per the chapter guide I said use it sparingly but with more things SEO there is no golden rule and it's all little tweaks. Overall I wouldn't say its 'bad' just not 'optimized'.
Hope that helps or at least gives you something to think about.