Wash the cranberries and add it to a small saucepan.
Add about ¼ cup of water (about half of total amount of water) also to the pan and bring the mixture to a boil.
As the mixture starts boiling, the cranberries will burst and will soften. Add the sugar and also the remaining water to the pan, mix everything well.
Simmer the mixture in medium heat for another 7 to 8 minutes until the cranberries are well cooked and soft and the mixture is saucy in texture. Stir the contents occasionally. If the sauce has reached your preferred consistency, you may stop cooking at this point. If you wish to soften the cranberries further, follow the below steps.
Cover the pan, reduce the heat to very low and cook for another 2 to 3 minutes if needed, which will help to soften the cranberries further. I usually do this as I prefer softened cranberries.
Open the pan, stir the contents, and cook for another 1 to 2 more minutes (keeping the pan open) or until desired consistency is reached. Make sure not to overcook the cranberries as the skin of the cranberries will get overcooked very fast, which won't taste good if you are looking for a saucy, soft texture.
Use a spoon or ladle or potato masher to gently mash any cranberries that are not yet popped on its own. Because if the cranberries are not popped, they may taste slightly bitter in the sauce.
Taste the sauce and if needed you may add more sugar to your preference, stir the contents again so the sugar will be dissolved (if adding extra sugar) in the prepared sauce, switch off the stove and keep the pan away from heat. Close the pan and keep it covered, serve as needed, enjoy!