Heat water and milk in the microwave for 30 seconds or until warm (not hot).
Combine water, milk, yeast, and sugar in a bowl and whisk. Cover with a clean kitchen cloth and let sit for 5-10 minutes to proof the yeast. Once the yeast is proofed, you should see little bubbles forming on the surface and can move onto the next step.
Add melted butter and salt, stirring to combine.
If using a standing mixer, start beating on low speed, adding one cup of flour at a time and using a spatula to scrape down the sides of the bowl. Increase speed to medium until the dough pulls away from the bowl.If you are mixing by hand, use a large spoon until ingredients are combined, then knead for a few minutes by hand.
Beat in the mixer for an additional 2-3 minutes or knead by hand on a floured surface for 3-5 minutes.
First rise
Grease a large bowl and place the dough ball into the bowl. Cover with a clean kitchen towel and allow the dough to rise in a room temperature or warm environment until doubles in size (about 1-2 hours).
Shaping the loaf
Once the dough has doubled in size, release the air by lightly punching it down. On a floured work surface, roll the dough into a large rectangle.
Roll the dough from one side until it's a long log and transfer into a greased 8x5 bread loaf pan.
Second rise
Cover with a clean kitchen towel and allow to rise until it's about 1 inch higher than the bread pan (about 1 hour).
Bake the bread
Bake bread on 350°F on a lower rack for 30-35 minutes. The top should be golden brown.
Allow bread to cool for a few minutes before slicing.
Notes
Use the right flour: Bread flour or all-purpose flour with a higher protein content works best for sandwich bread. This helps develop gluten, resulting in a better rise and structure.
Activate your yeast: Proof your yeast before using it by dissolving it in the wet ingredients with the sugar. If it bubbles and becomes frothy within 5-10 minutes, it's ready to use.
Don't rush the process, just enjoy the simple act of baking bread. I promise it will be worth the wait!
Store bread in an airtight container or bag for 2-3 days on the counter or up to 1 week in the refrigerator.