The Riverwalk condos are a pretty nice conversion project. You can't get any closer to 520 access than that. I looked at them for a while with a client of mine. The market here may be in a lull, but I don't see things plummeting anytime at all. Here's my reasoning: Job growth in the area remains strong. With riverwalk's proximity to MS campus and MS still expanding their campus and bringing more people in, there's always going to be a demand for housing in and around your area...at least in the foreseeable future.
As for the development's difficulty in selling the last few units, ...consider this, ..even though they released the units in phases, I believe the last phase was back in April, so all the better units have been picked over. The buyers are out there right now, ....but I think they're waiting to see how things pan out with regards to the mortgage shakedown and if prices here will fall.
How's this for a funny stat. For all of the eastside properties, ...at the end of August, this year saw an increase in standing inventory of about 49%. The number of pending sales fell 25% from this time last year, and the number of closed sales fell 21%. However, the median price of the homes that closed in August is up just over 10% from August 2006. King County as a whole has gone up 6% in median price while number of closed sales have dropped 19%.
Whether or not you purchased at a peak depends on when you bought, but I think your investment is safe. ...unless microsoft bails out of the area. Then we're all screwed, ...but the liklihood of that is almost nil. Feel free to send me a private email with your purchase details and I can probably give you a better idea of how your purchase compares up with where the market is now.