Not quite; the screen memory was not located in the first 512 bytes. (Neither was the font, which was in the VIP OS.) That only contained the interpreter code itself, but no variables. On the COSMAC VIP, the 256 bytes of screen/frame buffer were located in the last 352 of the addressable memory, along with variables for the V and I "registers" and other data. This location changed depending on how much memory the VIP had, which is probably one reason it wasn't included in the spec.
There were in fact even some "hires" CHIP-8 interpreters for the COSMAC VIP, such as "CHIP-10". That was unproblematic, as long as the VIP had enough memory. Although, the way the "Pixie" video chip worked, the resolution was 64x128 instead of 128x64 (because each pixel was fewer scanlines tall).