Its a very realistic expectation to both increase muscle mass and decrease body fat when you are a beginner with less than a year of training. You can expect to increase muscle mass while losing weight as opposed to "recomp" which is the term people use for hovering around the same weight while slowly shifting weight from body fat to muscle mass.
Personally, while I don't recommend "bulking" I feel "recomp" is likely to lead to stalled progress in terms of weight loss. I would recommend you simply try losing weight in the conventional sense and once you reach your goal weight follow a normal healthy eating pattern while you plan to gain muscle. This should work provided you aren't the type of person who struggles to maintain their weight with a normal healthy eating pattern.