Preheat oven to 350 degrees F (175 degrees C).

Break bread into small pieces into an 8-inch square baking dish. Mix in raisins and apple. Drizzle with melted butter.

Combine eggs, milk, sugar, cinnamon, and vanilla extract in a mixing bowl. Beat until well mixed. Pour over bread and lightly push down with a fork until bread is covered and soaking up egg mixture.

Bring a kettle of water to a boil. Place bread pudding baking dish into a large roasting pan. Carefully pour boiling water around pan.

Bake in preheated oven until a knife inserted into the middle of pudding comes out mostly clean, about 45 minutes.