This hearty Tex-Mex casserole features seasoned ground beef and mild diced green chilis folded into a velvety sauce of cream cheese and sour cream. Topped with a generous layer of shredded cheddar, the dish bakes until the cheese is bubbling and golden, creating a comforting and savory meal. Its rich, melt-in-your-mouth texture and warm aromatic spices offer a satisfying low-carb dinner that captures classic southwestern flavors without the need for grains or starches.

About This Recipe

The base of the dish is prepared by browning ground beef with diced onions, ensuring the meat is well-seasoned with a blend of cumin, chili powder, and garlic. Softened cream cheese and sour cream are stirred directly into the skillet, creating a fat-stable emulsion that binds the beef and chilis into a thick, cohesive filling. This creamy foundation absorbs the mild heat and moisture from the green chilis, maintaining a consistent texture that does not separate during the baking process.

The flavor profile is defined by the smoky depth of the cumin and the subtle, earthy tang of the green chilis. The inclusion of full-fat dairy provides a rich mouthfeel that balances the savory notes of the beef, while the cheddar topping adds a sharp, salty finish as it browns in the oven. Because the casserole relies on the natural fats of the beef and cheese for structure, it remains moist and succulent, developing a slightly crusty exterior that contrasts with the soft, creamy interior.

Typically served hot in generous portions, this casserole is a functional choice for family meals or batch cooking. It maintains its structure well when sliced, making it easy to serve alongside fresh garnishes like cilantro or sliced avocado. The combination of its simple, one-pan stovetop-to-oven preparation and its bold, cheesy profile makes it a reliable and sophisticated option for those seeking an effortless keto-friendly meal with a traditional comfort food feel.

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Why You’ll Love This Recipe

• Tex-Mex flavor without carbs
• Rich, creamy, cheesy, and satisfying
• Simple ingredients, quick prep
• Great for meal prep and leftovers
• Mild enough for the whole family
• Keto, low-carb, gluten-free

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What You’ll Need for This Cheesy Beef & Green Chili Casserole

• 1 1/2 lbs ground beef
• 1 medium onion, diced
• 1 tsp garlic powder
• 1 tsp cumin
• 1 tsp chili powder
• 1/2 tsp salt
• 1/4 tsp black pepper
• 2 cans (4 oz each) diced green chilis
• 8 oz cream cheese, softened
• 1/2 cup sour cream
• 2 cups shredded cheddar or Mexican blend cheese

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Step-by-Step Preparation

1. Preheat oven to 375°F
2. Brown ground beef with onion in a skillet; drain excess fat.
3. Season with garlic powder, cumin, chili powder, salt, and pepper.
4. Stir in diced green chilis.
5. Add cream cheese and sour cream; mix until melted and creamy.
6. Transfer mixture to a casserole dish.
7. Top with shredded cheese.
8. Bake 20–25 minutes or until cheese is golden and bubbling.
9. Cool slightly before serving.

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FAQ

• Is this casserole spicy?
  No — green chilis are mild, but you can use hot chilis if you want heat.
• Can I use ground turkey?
  Yes, but add extra seasoning since turkey is milder.
• Does it freeze well?
  Yes — freeze before baking for best results.
• Can I add veggies?
  Zucchini, mushrooms, or bell peppers work well.

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Variations & Substitutions

• Add jalapeños for heat
• Swap cheddar for pepper jack
• Add cauliflower rice to make it heartier
• Top with sliced olives or green onions

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Serving Suggestions

• Serve with cauliflower rice, roasted broccoli, or a fresh green salad.

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Did you make this recipe?

I’d love to hear from you — leave a comment below and tell me how it turned out, what you liked, or if you made any tweaks!

Try these next:

• Bacon Cheeseburger Casserole
• Ground Beef Enchilada Casserole

New keto recipes are added every week — check back often for more low-carb inspiration!