My 2c, second hand Fender strat (check out at least 6 in different stores and select the one you like best). You should be able to get a really nice axe for 500 USD.

Then depending on what you want to do, spend the rest of your budget on either a floor board (with a headphones socket)(ie Digitech GNX2) for home practice or a little amp (like the Mini/Mico Marshall stacks (they rock and they are cheep !.

You will then be the queen of tone and set to rock and roll !

Me, Im off looking for a Les Paul on the 14th so Im totally excited to !!!

Happy hunting
S