Starting gym while on a calorie deficit. Looking for advice.

I'm 20 years old, male, 5'7", and currently weigh 71.5 kg. Just under a year ago, I was 81 kg, and at the start of December 2024, I was 77 kg. Despite this weight loss by eating at a 500 calorie deficit, I don't see much difference in my appearance—I still look fat. Or perhaps I haven't noticed. I have chest fat, particularly under my arms, a prominent belly, and large love handles. I was aiming to get to 66kg~ from deficit alone, without gym, to stop looking 'fat'.

I asked on several subs what weight I'd have to reach to stop looking 'fat', and learned that there is no real answer that applies to everyone. I was advised by everyone to begin gym now, rather than put it off until I've reached a satisfactory weight. I assumed it would be right to enter a healthy weight range first, then begin gym, but it seems I am wrong. NHS BMI puts the upper bound of healthy weight range at 66.6kg for someone of my circumstances (ethnicity included), which I was aiming for to stop looking 'fat'.

I decided that I will start gym now, alongside my deficit, as everyone has advised. I think my goal weight will still be 66kg~. I'll work towards it with gym + deficit. My primary goal is to no longer look fat, rather, to look lean.

I just feel really confused right now though. I have lots of questions, I would appreciate help.

1. Is it right to do a deficit alongside gym? Should I stick to a 500 deficit?
2. How does weight training/gym/working out 'work'? Does it make me lose weight? Is it just that fat is turned to muscle?
3. Will I look better, say, at 68kg having done gym for 2-3 months, rather than getting to 66.6kg without gym?
4. Should I be so concerned with BMI and entering a healthy weight range?
5. How should I begin with gym? I've only been once and for like a total of ten days, I don't know what routine to take on.
6. The first time I began gym I may have overdone it. I went with a friend who was really poorly experienced, and I think I hurt my elbows. I had weird elbow pain 'in' and on the outside of the elbow, if iirc.
7. Can I 'transform' my body in say, 4 months, beginning from next week? From looking fat as I do now, (overweight according to BMI by some 5kg), to not looking fat, and looking lean?

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