To avoid this, I have a few tricks up my sleeve to ensure no undissolved sugar crystals can come in to contact with the liquid sugar: You’ve already done it; use some water when making caramel.
In a medium saucepan, heat the sugar over medium heat, stirring constantly until it melts into a golden amber liquid ... Mix in the caramel sauce and vanilla extract. Beat until fully combined ...
Resist the urge to stir—it needs this time to develop that rich, golden amber shade we all know and love in caramel. Now for the finishing touches! I stir in the butter, vanilla extract ...