The error in your reasoning is where you say "one has to wait an infinite amount of time in order to decide whether or not it belongs in the set". You are hypothesizing one possible way to decide, and then demonstrating that this possible way doesn't work. That is all correct as far as it goes.
But this doesn't mean that the problem is undecidable. There is another way to decide the problem, that doesn't require doing things the way you were hypothesizing, but that does things differently. The other way works by hardcoding the answers, without simulating the Turing machine or running it for a while. See How can it be decidable whether $\pi$ has some sequence of digits?. That other way shows that the problem is decidable.
You can't show a problem is undecidable by showing that one particular way of deciding fails. You can only show a problem is undecidable if you can show that all candidate ways of deciding don't work.
Regarding your comment about "feels like cheating", whenever you get that feeling, I recommend you go back to the mathematical definition. The mathematical definition of when a problem is decidable is if there exists an algorithm that decides it, and there is a specific mathematical definition of when we consider an algorithm to decide a problem. Hardcoding yields an algorithm meets all of those criteria.
I understand your sense that it "feels like cheating". What that sense is teaching you is that your intuition isn't quite right yet: it doesn't quite match the mathematical definition. These examples are designed to help you refine your intuition so that it better captures the actual mathematical definition.
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is $\sum$ and\Sigma
is $\Sigma$. I fixed it for you. – Andrej Bauer Aug 01 '22 at 19:47