I\'m setting up a webserver for a system that needs to be used only through HTTPS, on an internal network (no access from outside world)
I would have added this as a comment but it was a bit long..
This is not really an answer to your questions, but in practice I've found that it's not recommended to use a .local domain - even if it's on your "local" testing environment, with your own DNS Server.
I know that Active Directory uses the .local name by default when your install DNS, but even people at Microsoft say to avoid it.
If you have control over the DNS Server you can use a .com, .net, or .org domain - even if it's internal and private only. This way, you could actually buy the domain name that you are using internally and then buy a certificate for that domain name and apply it to your local domain.