>>The "website" is actually on your local computer. Note that the IP address is 127.0.0.1
Yes, it seems that 127.0.0.1 is always used for your own local computer. It can be used for testing purposes (to see if TCP/IP is installed correctly or something similar, I think).
I believe that the entire range 127.x.x.x is reserved, but I am not sure about the details.
Difference in opinions hath cost many millions of lives: for instance, whether flesh be bread, or bread be flesh; whether whistling be a vice or a virtue; whether it be better to kiss a post, or throw it into the fire... (from Gulliver's Travels)