Remember my "eco-friendly" pine disaster that looked like plastic wrap? Yeah, jana_miller31's oak success makes me jealous. For your walnut, I found those finishes often dry to a cooler, flatter sheen than oil, which might be your fence-sitting issue. Try a satin instead of gloss next time to warm it up.
No way, I've never had luck with those water-based finishes. Every time I've tried one, it ends up looking like plastic wrap on the wood, especially on oak. It just looks so thin and fake compared to a good oil finish. Give it a year and see if it still has any warmth to it. What's it like after it gets some wear?