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So, I have recently come into some extra spending money and I'm going to make the plunge into Horus Heresy and buy that new starter box. I'm planning on a splitting it between a loyalist and traitor army since I'm not sure what everyone in my community will be running. Unfortunately, I'm not super excited by any of the loyalists. But my brother pointed out I could run a traitor legion as loyalists. And the white and blue world eaters could be a great opportunity to explore some really gnarly battle damage. But I haven't looked at the rules yet. So I'm curious exactly how viable those forces are or if I'm putting myself in a bit of a corner. Are there lots of options? Is it even possible? Let me know what you think.

It's possible - the main thing to check is which Legion-specific units you'll lose access to, as some are locked to Traitor or Loyalist. I think for World Eaters you can take Rampagers & Red Butchers as either, but Angron & Kharn are Traitor locked.

You can play any Legion on any side. There are some Legions that have a Warlord trait depending on which allegiance you choose.
For World Eaters you'll be losing out on Kharn, Angron and one Warlord trait by choosing the Loyalist allegiance.

World Eaters lose a modest amount if not played as Traitor. While not the killiest primarch out there, Angron is one hell of an efficiently priced beatstick. Especially if he makes it to later in the game with his ramping attacks. Kharn is also priced and move and pretty damn terrifying with Gorechild. I'd even argue that the better warlord trait is locked behind the traitor allegiance.

You could go the other way and run Iron Hands as Traitor -- they have I believe a WL trait specifically for that, and I don't believe you lose access to anything but Ferrus Manus.

Loyalist World Eaters, Emp Children, and Death Guard have always interested me as well. Mostly Emperor's Children with Saul Tarvitz. I haven't looked into them much, though, as I don't have Liber Hereticus.