Pfsense local dns server?

[Cheetohz]

Please forgive my terminology, I only have basic understanding in this area and am trying to learn.

Does pfsense have a dns server for local host names? Or just a cache server for WAN addresses?

When I try to ping or do a nslookup for a local machine, I receive error  domain not exist.  Even when attempting to run a lookup of the host name of the machine I am on, it fails.

Edit: I am stumped even more so now. I have 3 hosts, my pfsense system which I will label Host1, my desktop which I will label Host2, and my server which I will label Host3

From Host2 I can run these commands

Ping Host1
this resolves to an IPv4 address and pings are successful

nslookup Host1
This will display the ipv4 address of my pfsense system

ping Host3
I receive the error Ping request could not find host Host3. Please check the name and try again.

nslookup Host3
Server:  Host1.domain.com
Address:  172.16.0.1

*** Host1.domain.com can't find Host3: Non-existent domain

Now from Host3 I can do the same as above with same results, however when I ping Host2 it will resolve to an IPv6 address and will be successful.

[Cheetohz]

Found my answer hidden in the DNS forwarder settings to register local systems in DNS.