Yep. I've always thought having a dedicated app for to-do lists is overkill when Notes is already so powerful. Just select the checklist icon. You can format things however you like with headings, bold text, etc.; and it even has collaborative features in case you want to share to-dos.
I've tried apps like Todolist, Wunderlist, Any.do, and-the-like. I don't miss any of the additional features they offered.