I would probably pull it off the market and let it sit vacant until the markets improve.

Assuming you are able to understand the transaction and are confident in your ability to represent your own interests then call the selling agent directly. 

The biggest issue with them is needing to "substantially improve" the property purchased in a zone.

This makes investing in the renovation of one nearly impossible to justify, since your improvements probably won't affect the sell price for a buyer that plans to tear it down. 

Also- should I hold off on making my first deal until I feel completely confident with  all the numbers?

The most valuable lesson I've learned is be confident and fear nothing.

. * THERE HAvE BEen SoME IMPROVeMENTS, BUT SME IF THESE ARE REAlLY ANNoYING (NOTE THE CAPS LOCK ISSUe :)(This is on iOS).

Appreciation (recovery) in many local areas has been over 40% from 2012-2018, so if values dip again I'd be confident to recommend holding through it.

We set aside a portion of our gross rents each month (usually 15-20%) in a capital improvement account and then we can use that account to fund repairs like roofs, AC units, remodel of kitchens or bathrooms, new appliances etc.You will always find something to spend on , I would spend some time to prioritize your capital spending, and to plan ahead of time for big ticket items to keep your place in top condition.  

Often their position is a result of a lack of education and/or the desire to do what it takes to improve their situation.