Local network

192.168.1.10 is a default IP you connect via another machine on the same network.

Loopback

127 range is designated as a loopback range.

• all other ranges are designated to talk to other devices.

Loopback never hits network card.

127.0.0.0/8 (127.0.0.0-127.255.255.255) 

Where it localhost set?

cat /etc/hosts

##
# Host Database
#
# localhost is used to configure the loopback interface
# when the system is booting.  Do not change this entry.
##

127.0.0.1	localhost
255.255.255.255	broadcasthost
::1             localhost