The apparatus and method of the present invention provide a quick, simple and accurate manner in which to measure the dimensions or characteristics of a hole without contacting the hole. The apparatus and method of the present invention also automatically detect different materials defining the hole and, therefore, the location of the interface where the materials meet. To measure the characteristics of the hole, the apparatus and method measure the intensities of the light reflected off the hole wall. In addition, the light directed toward the hole wall by the optical fiber may be of the type, such as collimated or focused, to provide distinct reflections that are received and measured by the optical receiver to supply accurate measurements of the hole characteristics.