leapp fails to use repositories configured with file:///

Description of problem:
Using the steps from https://access.redhat.com/articles/4977891 and creating a repo on the system, fails when you use file:/// as the baseurl in /etc/leapp/files/leapp_upgrade_repositories.repo

Version-Release number of selected component (if applicable):
leapp-0.10.0-2.el7_8

How reproducible:
Everytime

Steps to Reproduce:
1. Making baseos and appstream repos on the RHEL 7 machine

• Requires a RHEL 8 system to reposync them both and the repodata
  2. # cat /etc/leapp/files/leapp_upgrade_repositories.repo
  [appstream]
  name=appstream
  baseurl=file:///repo/appstream

[baseos]
name=baseos
baseurl=file:///repo/baseos

3. leapp upgrade --no-rhsm

Actual results:
leapp fails to syncronize cache for the repositories

Expected results:
leapp uses the repos

Additional info:
If you put the repo in /var/www/html and use baseurl=http://localhost/<name> then it works.