is fable 3 actually coming out or is it a myth i want to know i love fable but there are many things that they could've improved

Fable 3 will most likely come out.  It's just a matter of when.

---

1. 12/25/07 - 12/13/08 -EXTENDED-

They are still releasing DLC for Fable 2 so the sequel is probably a ways off.   It wasn't announced at E3 or the San Diego Comic Con this year, so more than likely its still in very early development.

The latest DLC gives you a glimpse of the future and possibly hints about what the sequel might be about.

It's been officially announced and there's some trailers and developmental videos put up on IGN.com