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Preheat oven to 350 degrees. Butter and flour a 9-inch springform pan or round cake pan.
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1. Toast pecans on a cookie sheet for 8 to 10 minutes. Remove from oven and salt lightly. Set aside.
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2. Prepare the cake batter. Beat together butter and sugar until fluffy. Add eggs and vanilla and mix well. Combine dry ingredients in a measuring cup (1/2 teaspoon cinnamon, 1 3/4 teaspoon baking powder, 1/2 teaspoon salt, 2 cups flour). Add alternately with sour cream to butter mixture. Do not over-beat. Spread into prepared pan.
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3. Prepare the apples. Peel and core apples. Cut into 8 wedges. Coat with 1 teaspoon vanilla. Combine 2 tablespoons sugar and 2 teaspoons cinnamon in a medium bowl. Toss apples in sugar mixture.
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4. Press apples into the cake batter, forming a pretty sunburst shape.
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5. Bake in a preheated oven for 55 to 65 minutes or until a cake tester inserted in the center of the cake comes out with moist crumbs. Cool for 15 minutes on a cooling rack. Remove to a serving platter.
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6. While cake is baking, prepare caramel. In a heavy-bottomed saucepan, melt 1/2 cup butter. Add 1 cup brown sugar and whisk for 2 minutes or until brown sugar is melted and mixture is boiling. Slowly add 2/3 cup heavy cream, whisking constantly. Bring to a boil, and boil for 2 minutes or until mixture is beginning to thicken. Remove from heat and add vanilla. Pour into a large measuring cup or bowl with a pouring spout to cool.
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7. Before serving, pour warm caramel over the cake, allowing it to drip down the sides of the cake. Sprinkle with salted pecans.
