WPF MVVM Light unit testing ViewModels

I am not a regular with the MVVM pattern and this is basically my first time playing with it.

What I used to do ("normal" WPF), was creating my Views with a Business layer and perhaps a datalayer (which usually contains my entities created by a service or the Entity Framework).

Now after some toying I created a standard template from MVVM Light and did this:

Locator:

public class ViewModelLocator
{
    static ViewModelLocator()
    {
        ServiceLocator.SetLocatorProvider(() => SimpleIoc.Default);

        if (ViewModelBase.IsInDesignModeStatic)
        {
            SimpleIoc.Default.Register<IUserService, DesignUserService>();
        }
        else
        {
            SimpleIoc.Default.Register<IUserService, IUserService>();
        }

        SimpleIoc.Default.Register<LoginViewModel>();
    }

    public LoginViewModel Login
    {
        get
        {
            return ServiceLocator.Current.GetInstance<LoginViewModel>();
        }
    }
}

Login ViewModel:

public class LoginViewModel : ViewModelBase
{
    private readonly IUserService _userService;

    public RelayCommand<Object> LoginCommand
    {
        get
        {
            return new RelayCommand<Object>(Login);
        }
    }

    private string _userName;
    public String UserName
    {
        get { return _userName; }
        set
        {
            if (value == _userName)
                return;

            _userName = value;
            RaisePropertyChanged("UserName");
        }
    }

    /// <summary>
    /// Initializes a new instance of the LoginViewModel class.
    /// </summary>
    public LoginViewModel(IUserService userService)
    {
        _userService = userService;

        _closing = true;
    }

    private void Login(Object passwordBoxObject)
    {
        PasswordBox passwordBox = passwordBoxObject as PasswordBox;
        if (passwordBox ==