Baking with Olivia and Caroline

Applesauce Raisin Cake

By Published On: October 1st, 2026

Yes, we are still in cake mode. I mentioned last month that we were going to tweak this cake recipe, and we did. After a few changes, we think it is finally a winner and worth sharing. Three attempts in all. You know what they say, “the third time is the charm!”

We couldn’t get the frosting out of our minds because it pairs so beautifully with the applesauce cake. On our first attempt we all commented on how awesome the frosting was and how, even though the cake was overbaked and not quite hitting all the notes, the combination still worked really well. The warm spices, the sweetness from the applesauce, and the creaminess of the frosting make this cake taste and smell like the most perfect fall day. 

Toasting the walnuts also takes this cake over the top. They add a nice depth of flavor and a little crunch that really makes a difference. But, speaking from experience, I have forgotten the walnuts on the stove more than once and burned them. So, keep a watchful eye on them! They toast quickly, and nuts are way too expensive to waste.

Applesauce raisin cake ingredients

  • ½ cup unsalted butter, softened
  • ½ cup vegetable oil
  • 1 cup light brown sugar, packed
  • 2 large eggs, room temperature
  • 1 teaspoon vanilla
  • 1½ cups unsweetened applesauce
  • 2 cups cake flour
  • 1 teaspoon baking soda
  • 1 teaspoon baking powder
  • ½ teaspoon salt
  • 1½ teaspoons ground cinnamon
  • ½ teaspoon ground nutmeg
  • ¼ teaspoon ground cloves
  • ½ cup chopped walnuts, toasted 
  • 1 cup raisins

Directions

Preheat the oven to 350°F. Grease an 8”x8” metal baking pan, or line it with parchment paper for easy removal.

Toast chopped walnuts for a few minutes to bring out flavor. Pour very hot water over the raisins and soak for at least 10 minutes while working on the batter.

In a large mixing bowl, beat together the softened butter, vegetable oil, and brown sugar until smooth and well combined. Add the eggs, one at a time, beating well after each addition. Mix in the applesauce and vanilla until fully incorporated.

In a separate bowl, whisk together the cake flour, baking soda, baking powder, salt, cinnamon, nutmeg, and cloves.

Gradually add the dry ingredients to the wet ingredients, mixing just until no streaks of flour remain. Do not overmix.

Drain the raisins well and fold them in with the chopped walnuts until evenly distributed.

Spread the batter evenly into the prepared pan and bake for 30-40 minutes, or until a toothpick inserted into the center comes out clean or with just a few moist crumbs.

Allow the cake to cool completely before frosting.

Brown butter-cream cheese frosting ingredients

  • ½ cup unsalted butter
  • 8 ounces full-fat cream cheese, 
  •    softened
  • 3 cups powdered sugar
  • ½ teaspoon cinnamon
  • 1 teaspoon vanilla extract
  • Pinch of salt

Directions

Place the butter in a medium saucepan over medium heat. Once melted, continue cooking, stirring constantly and scraping the bottom of the pan. The butter will begin to foam, then the milk solids will turn golden brown and develop a rich, nutty aroma.

Immediately pour the browned butter into a heatproof bowl, making sure to scrape in all of the flavorful browned bits. Let it cool until it returns to a soft, spreadable consistency. It should not be warm or liquid, but it also shouldn’t be cold and firm.

In a large bowl, beat together the browned butter and softened cream cheese until smooth and creamy.

Gradually add the powdered sugar, then the vanilla extract and a pinch of salt. Beat until light and fluffy.

Spread generously over the cooled cake.

As always, enjoy! •

Olivia and Caroline are enthusiastic foodies and bakers who are constantly in the kitchen, as well as explorers who create their own adventures in our area – and did we mention they are mother and daughter? Follow Olivia on Instagram to see her many creations at @oliviawvalentine.