While Fable II does sound technically impressive, these extra things that you can do to pass time and be more or less likeable etc. seem quite boring...
The main problem is that you have to really start caring about your town/family/whatever.
If you don't care for them, then what point is there in having them potentially die from you not having wood to keep the house warm.
"Whatever, I'll just get me a new family, should I ever want to go through the trouble again."
And so, if it starts to become that "I went through a shitload of trouble for this" kind of game, then it starts to have that WoW-appeal, except without the same level of social interaction.
All in all, this part of Fable II has got me interested only a little more than "The Sims", and I would qualify it the same as "The Sims". Something to pass time with, for the kind of people who can enjoy life simulations. And just to be perfectly clear, I never liked a single life simulator...