cancellation of Sale Agreement

Dear Sir/Mam, I had purchased a resale flat in pune. The deal is of Rs.6,50,000 out of which I paid Rs.1,25,000 to the owner and took possession of the flat in January thia year. The balance amount was to be paid by loan. After 1-2 months I realized that loan is not possible on the flat since the flat is in grampanchayat area. However I also enquired about the mortgage process but the same was also not possible. Since the owner was forcing to do the agreement we registered the sale agreement in June 2014. For all these months I have also paid a rent amountinv to Rs.3000/- for which I have documentary proof.  Now, since I cant pay balance amount to the owner without loan I am thinking to cancel this agreement. I have spent around 65000/- towards stamp duty and registration charges. I have the following queries:- 1. How much will I have to spend to cancel the registration. 2. Will I have to again pay for the stamp duty. 3. How should I ask the owner to give the amount I have paid to him. 4.  Is this a very lengthy process. 5. Will I able to ask her to pay me the renovation charges which I have done in this flat. Please tell me the solution ASAP. Waiting eagerly for your reply.