Oh my gosh, you have GOT to try this caramelized onion dip – it’s the stuff of party legends! I first made this for a game night years ago, and let me tell you, the bowl was practically licked clean within minutes. There’s something magical about those sweet, slow-cooked onions folded into creamy sour cream and tangy cream cheese. Whether you’re dunking crispy potato chips, fresh veggie sticks, or even spreading it on a sandwich, this dip is ridiculously versatile. Trust me, once you taste that rich, savory-sweet combo, you’ll be hooked. It’s my go-to appetizer for everything from casual hangouts to fancy gatherings – and it never disappoints.

Ingredients for Caramelized Onion Dip
You only need a handful of simple ingredients to make this dreamy dip – but quality matters! Here’s what you’ll need:
- 2 large yellow onions, thinly sliced (about 3 cups)
- 2 tablespoons unsalted butter (the real deal, please!)
- 1 cup full-fat sour cream (trust me, go full-fat)
- 1 cup cream cheese, softened (leave it out for 30 minutes)
- 1 teaspoon garlic powder (or 2 cloves fresh garlic, minced)
- 1 teaspoon kosher salt (plus more to taste)
- ½ teaspoon freshly ground black pepper
Ingredient Substitutions
No sour cream? Plain Greek yogurt works in a pinch. Dairy-free? Try vegan cream cheese and coconut yogurt. Want extra depth? A splash of Worcestershire sauce (or soy sauce for vegans) adds umami magic. Just don’t skip the onions – they’re the star!
How to Make Caramelized Onion Dip
Okay, here’s where the magic happens! Making this caramelized onion dip is actually super simple, but there are a few key steps you don’t want to rush. I’ve learned (the hard way, trust me) that patience here pays off big time.
Caramelizing the Onions
First things first: grab your heaviest-bottomed pan – this helps prevent hot spots and burning. Melt your butter over medium-low heat (don’t be tempted to crank it up!). Add all those thinly sliced onions and give them a good stir to coat them in the butter. Now, here’s the secret: walk away! Well, not completely – you’ll want to stir every 5-7 minutes, but really, let them just hang out and slowly cook. This low-and-slow method is everything. After about 15 minutes, they’ll start to soften and release their liquid. Keep going! It’ll take a full 20-25 minutes for them to turn that perfect deep golden-brown color and become sweet and jammy. If they start to look dry or stick, just add a tiny splash of water. When they’re done, take them off the heat and let them cool slightly. This step is the heart and soul of the whole dip, I promise!

Mixing the Dip
While your onions are cooling, grab a medium bowl. Plop in your softened cream cheese and sour cream. Using a sturdy whisk or a spatula, beat them together until they’re completely smooth and no lumps remain. This is crucial for that perfect creamy texture! Now, add your garlic powder, salt, and pepper and give it another good mix. Time for the star! Fold in your slightly cooled caramelized onions. You want to stir gently until they’re evenly distributed throughout the creamy base. Don’t worry if it looks a little loose at this point – that’s totally normal. Now, cover the bowl and pop it in the fridge for at least an hour, but honestly, overnight is even better. This chilling time is non-negotiable – it lets all those incredible flavors really meld together and the dip will thicken up beautifully.
Tips for the Best Caramelized Onion Dip
After making this dip countless times (and learning from my mistakes), here are my absolute must-know tips:
- Low and slow wins the race – Rushing the onions means missing out on that deep, sweet flavor. If you think they’re done, give them 5 more minutes!
- Salt your onions early – Adding a pinch of salt when you first put them in the pan helps draw out moisture for better caramelization.
- Let it chill! I know it’s tempting to dig in right away, but that hour in the fridge makes ALL the difference in flavor and texture.
- Taste before serving – The flavors develop over time, so you might need an extra pinch of salt or pepper after chilling.
- Room temp cream cheese is key – Trying to mix cold cream cheese will leave you with lumps. Trust me, I’ve been there!
Serving Suggestions for Caramelized Onion Dip
Oh, the possibilities with this dip! My absolute favorite way to serve it is with thick-cut potato chips – that perfect salty crunch against the creamy dip is heaven. But don’t stop there! It’s amazing with:
- Crisp veggie sticks (try radishes for extra crunch!)
- Warm pretzels or pita chips
- Buttery crackers or toasted baguette slices
And here’s my secret: slather it on a turkey sandwich instead of mayo, or use it as a burger topping. Game changer!
Storing and Reheating
Here’s the deal – this caramelized onion dip stays fresh in an airtight container for up to 3 days in the fridge. Don’t freak out if you see a little liquid separation when you take it out – that’s totally normal! Just give it a good stir and it’ll come right back together. I don’t recommend freezing it though – dairy dips tend to get weird textures when thawed. If it seems too thick after chilling (it happens!), just stir in a teaspoon of milk at a time until it’s perfect again.
Nutritional Information
Here’s the breakdown per 2-tablespoon serving (estimates vary slightly based on exact ingredients): 80 calories, 7g fat (4g saturated), 3g carbs, 0g fiber, 2g sugar, 1g protein, and 150mg sodium. It’s rich but oh-so-worth-it!
FAQs About Caramelized Onion Dip
Can I make this dip ahead of time? Absolutely! In fact, it gets better with time. Make it up to 24 hours before serving – just keep it covered in the fridge. The flavors meld beautifully overnight.
Can I freeze the leftover dip? I wouldn’t recommend it, friend. Dairy-based dips don’t freeze well – the texture gets grainy when thawed. But honestly, leftovers rarely last more than a day in my house anyway!
Help! My dip turned out too runny. What now? No worries! Just stir in a tablespoon or two of extra softened cream cheese until it reaches your perfect consistency. This trick has saved many of my “oops” moments!

Try this dip for your next gathering and let me know how it goes in the comments! What creative ways did you serve it?
PrintIrresistible Caramelized Onion Dip Recipe in 25 Minutes
A creamy and savory dip made with caramelized onions, perfect for chips or veggies.
- Prep Time: 10 mins
- Cook Time: 20 mins
- Total Time: 1 hour 30 mins (includes chilling)
- Yield: 2 cups 1x
- Category: Appetizer
- Method: Stovetop
- Cuisine: American
- Diet: Vegetarian
Ingredients
- 2 large onions, thinly sliced
- 2 tbsp butter
- 1 cup sour cream
- 1 cup cream cheese, softened
- 1 tsp garlic powder
- 1 tsp salt
- 1/2 tsp black pepper
Instructions
- Melt butter in a pan over medium heat.
- Add onions and cook until caramelized, about 20 minutes. Stir occasionally.
- Let onions cool slightly.
- In a bowl, mix sour cream, cream cheese, garlic powder, salt, and pepper.
- Stir in caramelized onions.
- Chill for at least 1 hour before serving.
Notes
- Store leftovers in an airtight container for up to 3 days.
- For extra flavor, add a dash of Worcestershire sauce.
Nutrition
- Serving Size: 2 tbsp
- Calories: 80
- Sugar: 2g
- Sodium: 150mg
- Fat: 7g
- Saturated Fat: 4g
- Unsaturated Fat: 2g
- Trans Fat: 0g
- Carbohydrates: 3g
- Fiber: 0g
- Protein: 1g
- Cholesterol: 20mg

