If by some insane decision, you decide to be evil, your character will look like a tauren from World of Warcraft. You start off as a kid with a mullet. The main villian is killed in one shot. No cutscenes, for better or worse. Most female characters will end up looking like a prostitute. Constant glitching. Mediocre character design. Terrible hairstyles apart from a couple. Money is so simple to get, I owned Bowerstone in less than two hours. Male characters look flat out mentally challenged(no offense to the mentally challenged). A female character looks like a gross butch if even a point is devoted to Strength. Upgrading Will causes blue stretch marks to invade your body. Children are useless, despite how cool they sound. Your character takes it's sister's death with a smile, and the list continues.
Nothing what Peter Molyneux promised. Most of what he promised is over-exaggerated from what it truly was. The first Fable had such a great story and beautiful creativity combined with well-place humor, while humor in Fable 2 is crude at best, and the story feels random and unfulfiling.