In a medium saucepan, melt the butter over medium high heat. Add 1 cup of the apples, the honey and sprinkle in the spices and salt. Cook for 2-3 minutes until the apples are softened.
Pour in the water, turn the heat up to high, and bring to a low boil. Add the oats and reduce the heat to medium/medium high. Cook, stirring occasionally for 3-5 more minutes.
Add the walnuts (if using), and continue cooking until most of the liquid is absorbed. Divide the oatmeal between two bowls, sprinkle each with the remaining apples, drizzle with a little more honey, and splash 1/4 cup milk into each bowl.