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So a couple of my freinds are interested but believe it to be too expensive, how can I try and persuade them into it for casual play?
Also if anyone has some cheap 500pt lists I can show them, they are more interested in Tyranids and orks.
Ill post the one I did in an hour so maybe it can help you other people in the same position as me.
Chaos space Marines.

Chaos Lord: 153pt £12 (MoN, terminator armour, lightning claw, powerfist).

Chaos Space Marine × 5 100pt (MoN, Meltagun)
Chaos Space Marine x 5 95pt (MoK, flamer, CCW)
£18.80

Chaos Terminators x 5 157pt £22.40

Total: £53.20
Points: 499

This was all on wayland games and not including any ebay browsing which I would happily do for them.

If you think your friend would like Chaos, then I'd consider looking for the Chaos half of the Dark Vengeance box set on ebay, as they tend to go for around the £30 mark and you get a lot for your money.

Or if you have more than one friend, buy the whole box and have one friend play Chaos, one play Dark Angels, and split the box £26 odd each

I have a friend who is the most frugal person ever, and I'd definitely recommend halves of box sets as the most cost effective way to get a friend into the game - The only problem is if they like an army which isn't in a box set! In which case, it depends entirely on the army...

Unfortunatly I dont believe they are interested in either of the factions.

I'd say for either Tyranids or Orks try to get the Start Collecting box ($85 at GW prices, which means $60-70 at thewarstore or other discounted retailers) and play Kill-Team; whether with official GW Kill-Team or Heralds of Ruin you have options and to spare out of both, and you get them to get their feet wet with the rules without needing to deal with the weirder/more complicated things (psykers, superheavies, flyers, wound allocation in mixed squads...).

For the most budget army possible starting either Dark Angels or Chaos Marines and trawling Ebay for the models split out of Dark Vengeance works incredibly well; you could do a decent 500pt Ravenwing army for $60 worth of DV Bikes (run as two squads of four, one of three, and an HQ model), for instance, and the models will be new plastic so you don't have to worry about stripping off a terrible paint job the way secondhand models normally go.

In terms of Tyranids and Orks, you can still find half of box sets such as Assault on Black Reach, and the old Space Marine starter (remind me of the name someone?)

They will be more than what they used to be, but still should be able to find them for relatively cheap

Seriously, go on ebay and search "Tyranid Army", "Ork Army", "Assault on black reach ork" and similiar phrases, sort by either Newly Listed, or Lowest Price + P&P buy it now, and you'll find ridiculously good bargains

 Tooooon wrote:
...and the old Space Marine starter (remind me of the name someone?)...

Battle for Macragge. It's probably old enough not to be worth bothering, and the models are basically the same as what comes in the Genestealer and Termagant boxes anyway (as opposed to Black Reach, which is absolutely worth looking for because that's where the cool Deffkoptas come from).

I use Space Wolves and Tyranids armies mostly from the Start Collecting! boxes and let my opponent choose their army for an intro game, then cripple myself.
If they Choose Space Wolves I replace the Flyrant with a pair of Carnifexes.
If they choose Tyranids I set the table up so the Flyrant will be airborne by the time the Wolves arrive.

But Start Collecting! boxes are a great way to kick people off.

I recommend if you want someone to play 40K start playing Kill Team. It is cheaper to try the game because there are not too many minis to assemble or paint.

If he says no, "I want the full game with vehicles", then recommend him armies like the Grey Knights or any other army with a low count of minis.

And last if he wants big armies like Orks, Astra or Tyranids. Start Collecting!