Pihole not resolving it's own hostname

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Followed the instructions:

  1. enabled DEBUG_QUERIES and DEBUG_NETWORKING
  2. restarted pihole
  3. tried nslookup hub.synapse.lan

result:

Oct  1 23:11:38 dnsmasq[130486]: query[A] hub.synapse.lan from 192.168.7.24
Oct  1 23:11:38 dnsmasq[130486]: Pi-hole hostname hub.synapse.lan is Pi-hole hostname

If it helps, I was also seeing the behavior explained in this bug: Pihole DNS returns 127.0.1.1 when querying its FQDN (e.g. hostname.lan) · Issue #1168 · pi-hole/FTL · GitHub

I ended up adding the following entries to /etc/hosts in order to fix:
192.168.7.2 hub.synapse.lan hub

Won't claim that I totally know what I am doing here but without that entry in the hosts file, I could not even ping hub while on the same host!

>> ping hub.synapse.lan                                                                                          
ping: hub.synapse.lan: No address associated with hostname