Some breads are meant for sharing, the kind you set on the table and everyone pulls apart without waiting for a knife. Soft Cheesy Onion Bread is exactly that. It’s familiar and unfussy, a cozy loaf swirled with caramelized onions and a generous handful of melty cheese. The crumb is tender, the crust is lightly golden, and the aroma that fills the kitchen is reassuring in the best way. If you’ve baked a simple sandwich loaf before, you can make this. If you haven’t, you can still make this. We’ll go step by step, no rush, and end up with a warm loaf you’ll want to tear into while it’s still steaming.

Ingredients for this Soft Cheesy Onion Bread

3 1/2 cups bread flour, plus more for dusting (about 440 g)
2 tablespoons granulated sugar (25 g)
1 1/2 teaspoons fine sea salt
2 1/4 teaspoons instant yeast (7 g)
1 cup warm milk, 100–110°F (240 ml)
1/4 cup warm water, 100–110°F (60 ml)
4 tablespoons unsalted butter, softened (57 g)
1 large egg, room temperature
2 large yellow onions, thinly sliced
1 tablespoon olive oil
1 tablespoon unsalted butter, for the onions
Pinch of sugar and a pinch of salt, for the onions
1 1/2 cups shredded cheese, loosely packed
Optional: 1/4 cup grated Parmesan for extra savoriness
Optional finish: 1 tablespoon melted butter mixed with 1 small grated garlic clove and a pinch of parsley

Note: if using active dry yeast, see instructions for blooming

Instructions

Caramelize the onions. Set a wide skillet over medium heat. Add olive oil and 1 tablespoon butter. When shimmering, add sliced onions, a pinch of sugar, and a pinch of salt. Cook, stirring occasionally, 20 to 30 minutes. Lower heat if they brown too fast. You want soft, deep golden, jammy onions. If the pan dries, add a splash of water. When done, set aside to cool completely. This step smells like a cozy bistro, so let it happen. Breathe.
Make the dough. In a large mixing bowl, whisk flour, sugar, salt, and instant yeast. Add warm milk, warm water, egg, and softened butter. Mix with a wooden spoon until shaggy. If using active dry yeast, bloom it first: mix warm milk, warm water, and sugar with the active dry yeast, let it foam 5 to 10 minutes, then add to the dry ingredients with the butter and egg.
Knead. Turn dough onto a lightly floured surface and knead 8 to 10 minutes until smooth and elastic. It should feel soft and slightly tacky but not sticky. If the dough is very sticky, dust in 1 to 2 tablespoons more flour. If using a stand mixer, knead on medium-low 6 to 7 minutes. You’re looking for a dough that stretches without tearing easily.
First rise. Shape dough into a ball and place in a lightly oiled bowl. Cover with a clean towel or plastic wrap. Let rise in a warm, draft-free spot until doubled, about 60 to 90 minutes. A slightly warm oven with the light on works well.
Prepare the filling. Pat the cooled onions with a paper towel if they look oily. Toss your shredded cheese in a small bowl. If using Parmesan, mix it in now.
Shape the loaf. Gently deflate the dough and roll it into a rectangle, roughly 10 by 14 inches. Spread the onions evenly, leaving a small border around the edges. Sprinkle the cheese over the onions. Starting from a long side, roll the dough into a snug log. Pinch the seam to seal, then tuck the ends under.
Pan and proof. Lightly grease a 9 by 5 inch loaf pan. Place the log seam side down in the pan. Cover and let rise until the dough crowns about 1 inch over the rim, 35 to 50 minutes, depending on the room temperature. When gently poked, the dough should spring back slowly. That’s your cue.
Preheat the oven to 375°F (190°C). If your oven runs hot, keep a piece of foil nearby in case the top browns too quickly.
Bake. Brush the top lightly with milk or water for a softer crust. Bake 30 to 35 minutes until the loaf is deep golden and sounds hollow when tapped, or until an instant-read thermometer in the center registers 195 to 200°F (90 to 93°C). If it’s browning early, tent with foil for the last 10 minutes.
Finish and cool. Optional but lovely: brush the hot loaf with the garlic butter. Cool in the pan 10 minutes, then transfer to a rack to cool at least 30 minutes before slicing. Yes, waiting is hard. The crumb sets as it cools, and the cheese stays where it should.
Serve. Slice thick for dunking into soup, or tear big pieces to go with a salad. Leftovers make excellent toasted sandwiches the next day. If there are leftovers.

Cook and Prep Times

Active prep time: about 30 minutes
Caramelizing onions: 20 to 30 minutes, can be done ahead
First rise: 60 to 90 minutes
Second rise: 35 to 50 minutes
Bake time: 30 to 35 minutes
Total time: approximately 2 hours 45 minutes to 3 hours 15 minutes, mostly hands-off

Nutritional information

Approximate per slice, 12 slices per loaf:

Calories: about 280
Carbohydrates: 30 g
Protein: 10 g
Fat: 12 g
Saturated fat: 6 g
Sodium: 420 mg
Fiber: 1 g
Sugars: 4 g

These numbers are estimates. Actual values will vary based on the cheese you choose and how generous you are with the butter. No judgment either way.

Frequently asked questions

Can I use different cheese or a single cheese?

This loaf is flexible. A mild, good-melting cheese keeps the crumb soft and gooey, so mozzarella, Monterey Jack, or young Gouda are great. For more flavor, add a sharper cheese in the mix, like cheddar, Gruyère, or a sprinkle of Parmesan. If using only a strong cheese, the flavor can dominate, so consider dialing back the quantity slightly. Aim for about 1 1/2 cups total shredded cheese.

How do I make this ahead or freeze it?

You have options. Caramelize the onions up to 3 days ahead and refrigerate. For the dough, complete the first rise, shape the loaf, then cover and refrigerate overnight. The next day, let it sit at room temperature until puffy, then bake. To freeze baked bread, cool completely, wrap tightly in plastic and then foil, and freeze up to 2 months. Thaw at room temperature in the wrapping. Refresh in a 325°F oven for 10 minutes for that just-baked warmth.

Can I make it without egg or dairy?

Yes, with a few tweaks. Use your favorite unsweetened plant milk in place of dairy milk. Swap the butter in the dough and onions for a neutral oil or dairy-free butter. Skip the egg and add 2 tablespoons extra plant milk to the dough. Choose a dairy-free melting cheese for the filling. Texture stays soft, and the flavor is still savory and satisfying. One note, the crust may be slightly less golden, but it’s still lovely.