In a large mixing bowl, combine the warm milk, granulated sugar, and instant yeast. Let it sit for about 5 minutes until it becomes frothy.
Once frothy, add the melted butter, egg, and salt to the yeast mixture. Mix until well combined.
Gradually add the flour, mixing until a soft dough forms. Knead the dough on a floured surface for about 5 minutes until smooth.
Place the dough in a greased bowl, cover with a clean cloth, and let it rise in a warm place for about 1 hour or until doubled in size.
While the dough is rising, prepare the filling: In a medium bowl, combine the diced apples, brown sugar, cinnamon, and nutmeg. Mix gently and set aside.
After the dough has risen, punch it down and roll it into a rectangular shape about 1/4 inch thick.
Spread caramel sauce evenly over the dough, leaving a small border around the edges. Sprinkle the apple mixture on top.
Starting from one long side, carefully roll the dough into a log. Pinch the seam to seal and slice the roll into 1-inch thick pieces.
Place the rolls in a greased baking dish, cover, and let them rise for an additional 30 minutes.
Preheat the oven to 350°F (175°C). Once the rolls have risen, bake them in the preheated oven for 25-30 minutes or until golden brown.
Let the rolls cool for a few minutes, then drizzle with additional caramel sauce before serving.
Notes
Serve warm on a wooden cutting board, drizzled with caramel and garnished with a sprinkle of cinnamon.