Access is denied. Verify that either the Default Content Access Account has access to this repository, or add a crawl rule to crawl this repository. If the repository being crawled is a SharePoint repository, verify that the account you are using has "Full Read" permissions on the SharePoint Web Application being crawled.

Disabling the loopback check worked for me, below are the steps that i took :
1. Click Start, click Run, type regedit, and then click OK.

2. In Registry Editor, locate and then click the following registry key:

HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\Control\Lsa

3. Right-click Lsa, point to New, and then click DWORD Value.

4. Type DisableLoopbackCheck, and then press ENTER.

5. Right-click DisableLoopbackCheck, and then click Modify.

6. In the Value data box, type 1, and then click OK.

Restarting the machine is a good practice but i did not even need to restart.