Installing wordpress on a fresh local install on my machine, post permalinks with post name does not work. To enable that :
sudo ln -s ../mods-available/rewrite.load
1. Enable mod_rewrite for apache
cd /etc/apache2/mods-enabled/sudo ln -s ../mods-available/rewrite.load
2. Enable AllowOverride for apache
sudo vi /etc/apache2/apache2.conf
Options Indexes FollowSymLinks
AllowOverride All