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The Ultimate Creamy & Baked Caramelized Onion Dip (Easy Homemade Recipe)

A white oval baking dish filled with hot, cheesy caramelized onion dip, featuring golden-brown, slightly charred onion rings on top.

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You can make this rich, savory caramelized onion dip at home. Slow-cook the onions until sweet, then combine them with cream cheese and sour cream for a creamy texture. This baked dip is a perfect party appetizer for game days or gatherings.

Ingredients

Scale
  • 2 large yellow onions, thinly sliced
  • 2 tablespoons unsalted butter
  • 1 tablespoon olive oil
  • 1 teaspoon salt, plus more for seasoning
  • 1/2 teaspoon black pepper
  • 1 teaspoon fresh thyme leaves (optional)
  • 8 ounces cream cheese, softened
  • 1 cup sour cream
  • 1/4 cup shredded Gruyère cheese (optional, for a cheesy caramelized onion dip)
  • 1 clove garlic, minced

Instructions

  1. Melt the butter and olive oil in a large skillet over medium-low heat. Add the sliced onions and 1 teaspoon of salt.
  2. Cook the onions slowly, stirring every 5 to 10 minutes, for 40 to 50 minutes until they are deeply golden brown and sweet. This slow cooking develops the rich onion flavor.
  3. Stir in the minced garlic and thyme during the last 2 minutes of cooking. Remove the skillet from the heat and let the onions cool slightly.
  4. In a medium bowl, combine the softened cream cheese, sour cream, and pepper. Mix until smooth.
  5. Fold the cooled caramelized onions into the cream cheese mixture. If using, stir in the Gruyère cheese. Taste and add more salt if needed.
  6. Transfer the dip mixture to a small oven-safe baking dish.
  7. Bake at 375°F (190°C) for 15 minutes, or until the dip is heated through and slightly bubbly around the edges. This makes a warm onion dip idea.
  8. Serve the baked caramelized onion dip immediately with chips, crackers, or fresh vegetables.

Notes

  • You can prepare the caramelized onions up to two days ahead of time and store them in the refrigerator.
  • For a quicker version, you can skip the baking step and serve this as a cold, creamy onion dip recipe.
  • This recipe makes a great savory onion spread if you use less sour cream.

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