I have the following problem My hosts file is as follows:
127.0.0.1 localhost 127.0.1.1 barbala4o-HP-ProBook-4530s 127.0.1.1 mysite.local
For Kubuntu 14.04 & Apache 2.4.7
After trying the suggestions above, and still bumping on permissions issues, a "chmod 755 $HOME" worked for me. Not to be used on a multi-user system.