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My advice would be to spend about $200-$300 on a good used guitar, buy a Pocket Rock-it, a tuner, a stand, and maybe a DVD on the basics of playing.
Echo, except that you should be able to find a decent low power amp for under $100 that will be a lot more fun to practice with. The extra money can go into better pickups and new hardware (or towards a more expensive instrument initially that takes care of those needs).
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Take that $500 and buy an acoustic guitar and a tuner. When you become a stronger player buy an electric.
$500 will get you a garbage electric set-up that plays and sounds like absolute shit. You won't notice it now but you will when you get better. Assuming you stick with it, you'll end up spending a sizeable chunk of money on a nice electric set-up and your $500-rig will either get given away or thrown in a dumpster.
If you'd like to start with an acoustic, a lower range Fender would be a fine choice. It will light, playable, and sound decent. If you decide later in your career to become a folk musician, then retread steps and buy yourself a more expensive acoustic. It seems like, however, an electric guitar is what you want, and you shouldn't deny yourself the pleasure even a low profile setup can provide.