The incorporation of dairy ingredients, such as milk or acid whey in bread, is advantageous considering their functional properties and the positive effects on consumers’ health. The introduction of an ingredient in bread making process requires the evaluation of dough behavior and final product quality. Thus, the influence of water replacement by milk or acid whey on the characteristics of wheat flour dough and bread was studied. Dynamic rheological measurements were performed in order to evaluate the viscoelastic properties of dough. Compared to the control, an increase of the elastic character of dough for samples with milk and a decrease for those with acid whey was observed. The resistance to deformation decreased when water was substituted with more than 25% milk and increased for samples with up to 25% acid whey. Higher maximum gelatinization temperatures were obtained when water was substituted by milk or acid whey. Bread crumb presented higher firmness, lower volume and porosity for samples with dairy ingredients compared to the control, therefore, replacement levels lower than 25% were recommended in order to minimize this negative effect. Bread elasticity, chewiness, resilience, pores density and size were improved at replacement levels lower than 25%, while for the sensory characteristics of the specialty bread, high scores were obtained. These results can be helpful for processors, in order to develop and optimize bread with dairy ingredients.