In a small bowl, combine the warm water, sugar, and yeast. Stir well and let it sit for about 5–10 minutes until foamy.
Whisk in the olive oil, yogurt, and egg until smooth.
In a large mixing bowl, combine 1 cup of flour with the salt.
Pour the wet ingredients into the flour mixture and stir until combined.
Gradually add the remaining flour, about ½ cup at a time, until a soft dough forms.
Transfer the dough to a lightly floured surface and knead for about 3 minutes until smooth and elastic. Add only enough flour to prevent sticking.
Place the dough in a lightly oiled bowl, cover loosely, and let it rise for about 1 hour or until doubled in size.
Gently punch down the dough and divide it into 8 equal pieces. Roll each piece into a smooth ball.
Heat a heavy skillet over medium heat.
Roll each dough ball into a circle about 6 inches wide and ¼ inch thick.
Place one piece into the hot skillet and cook until large bubbles form and the bottom develops golden brown spots.
Flip and cook the second side until browned.
Stack the cooked Homemade Naan Bread under a clean towel to keep warm.
Brush with melted butter and sprinkle with fresh herbs if desired before serving.