I assumed someone just bought it super cheap and thought they could do quick resell without any work on it because it needs quite a lot of work.

Resell the information to an investor.

That brings to my other question:Can I use eidl to purchase and rehab real estate and re-sell it?

If you are intimidated for your first flip I’d suggest not backing out, but either go with it, and if it’s truly a good price, quickly resell for more..

Those terms can include putting a restriction on the face of the deed that you cannot resell the property for 30, 60, or 90 days.

@Barry Pekin The only instance I know of where this practice makes sense is when you are wholesaling an REO or a short sale and the deed restriction imposed by the bank prohibits wholesaling or re-selling the property for a predetermined period of time.

Among the things that ended up being required of me to build up my DTI: a). pay down all credit cards to zero, b) file for social security despite not needing it yet c) take my first 2 mos. withdrawals from my IRA (not needed yet either) d) two of my different SFR tenants have started "home preschools" which landlord is required to accept under Calif. law, and one was backed by a major corporation, but the loan had to be switched to a third property because the HUD (I think) guidelines which allow the lender to re-sell the loan won't allow for "care homes" or "pre-schools" on the property.  

We bought another that had a $25k (105k>we bought for 130k) premium on it, but wholesaler had to buy from sheriff's sale, close and then resell to us.You also mention "mentoring fee". 

Just wanted to test waters and get into investing into property or purchasing an renting out or even purchasing property and reselling... any advice anyone can give me it would be greatly appreciated

You CAN wholesale by actually closing a property and then reselling it with a license.