Alright i figured out my problem, which my solve yours as well. After viewing this site http://support.microsoft.com/kb/890015
i ran the netstat -ano and found out that there was another app already on the server using port 80, which wsus was trying to use. I went back into the installation and chose to use a custom WSUS webpage, thus setting the port to 85xx. The install finished and the configuration wizard came up as expected.
How do you know when a politician is lying? His mouth is moving.