I had a few additional thoughts. At this point, it would probably be best for Lynn to clarify her needs. The original post simply requested advice on scopes under $500, from which I assumed that the purpose was general birding. I think we need to know how the scope will primarily be used, whether she has significant interest in digiscoping, whether she wears glasses, and what she means by wanting to hike with the scope.
I ask the last question because there are different kinds of hiking. There is hiking on easy trails for the purpose of birding/sightseeing. There is also hiking on rough and challenging trails where you will want your hands free and most everything in your backpack, so you can have good balance. (I enjoy these kinds of trails also, but generally would leave my scope at home if this type of hiking was my goal). If you want a scope suitable for the latter type of hiking, then you are not really looking for the best general scope under $500, you are looking for the best light and compact scope under $500. There are a couple of other recent threads discussing this issue. In addition to the vortex nomad, Kowa (500 and 600 series), and Nikon make some scopes worth considering in this range, though some by those manufacturers break through the $500 barrier.
And finally, John is right to point out that any scope in this price range will involve significant optical compromises. Though in truth, every spotting scope made involves optical compromises to some degree.
Best,
Jim