It would have been harder to watch your stack go.... Letting the hand go was probably correct. However, after villain c/c's the flop bet, you have to think one of 2 things, he really did hit or he is playing you. While you did have TP decent kicker, it won't beat a lot of the hands many loose players will come in with. I think you were in a good place to turn the tables on him, meaning you check the turn, then call his river bet.. You have to also know that your 2/3 bet could be taken as a cbet steal.
In this case the table stats (buy-in, reads, stacks etc) would really help us offer advice.