Develop .NET application for free?

Answer 1

Yes, there are free versions of almost all of Microsoft's development software.

Most of them are called 'Express', such as Visual Studio Express, which are free.

Free to download, free to redistribute, free to embed, and easy for new developers to use immediately, SQL Server Express includes powerful features such as SQL Server Management Studio Express, for easily managing a database. Link to SQL Express

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Microsoft Visual Studio Express is a set of freeware integrated development environments (IDE) developed by Microsoft that are lightweight versions of the Microsoft Visual Studio product line. Express Editions were conceived beginning with Visual Studio 2005. Visual Studio Express and other Express products

Answer 2

Visual Studio Express and SQL Express

Answer 3

The express editions of the software you're calling is free of charge.

You can get them from http://www.microsoft.com/express/

Answer 4

http://www.mono-project.com/ with their CSharp Compiler

It will also save your money on windows hosting ;-)