Did you restart apache?
Also no you don't have to use a ssl folder - you can use www if that works for you. Some websites prefer to have a non ssl section and then a seperate ssl section (eg a login page) for whatever crazy reason so a lot of server setups try to offer this so the user has a choice
Also you don't have to use mysite.localhost... you can just use .lan instead which is quicker and easier (or you could just use one letter instead if you really wanted!).
Talking of which, have you added mysite.localhost to your hosts file so that your dns lookups don't fail?