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Combine 1 cup flour, dry yeast and salt in bowl of your stand mixer fitted with the paddle attachment and stir until blended. Combine milk, water, butter, and honey in a small microwave-safe bowl. Microwave in 30 second increments until very warm but not hot to the touch (120°F – 130°F). Add to flour mixture.
Mix for 2 minutes on medium speed, scraping the sides of the bowl as needed. Add in 1/2 cup more flour mix for 2 more minutes on high speed. Stir in just enough of the remaining flour (3/4 to 1 cup) so that the dough will form into a ball.
Replace the paddle attachment for the dough hook attachment and mix on medium speed for 6-8 minutes, until the dough is smooth and elastic and springs back when lightly pressed with 2 fingers. Alternately you can do this step by hand, kneading the dough on a lightly floured surface for 6-8 minutes. Cover with a towel and let rest for 10 minutes.
Cut the dough into 12 equal pieces and shape into balls using your hands. Place in greased 8-inch round or square pan. Cover the rolls with a towel and let them rise in a warm place, until they’re doubled in size, about 30 minutes.
Bake rolls in preheated 375ºF oven for 20 minutes or until golden brown.
For the topping combine the butter and honey in a microwave safe bowl and heat for 30 seconds until butter is melted. Mix together and brush the melted honey butter on warm rolls.