Mushroom Casserole

This creamy Mushroom Casserole is an impressive side dish to any meal! It’s loaded with tender mushrooms mixed in a cheesy decadent sauce, then baked with a panko herb topping.

Close side view of a wood spoon lifting up mushroom casserole from the baking dish.

Reasons to LOVE This Casserole

  • Rich and Creamy: The creamy richness of this decadent casserole is unmatched! Cream cheese, sour cream, and parmesan cheese are always a winning combination.
  • Loaded With Mushrooms: Calling all mushroom lovers! The texture and flavor of the mushrooms in this casserole will blow everyone’s minds!
  • Crowd-Pleasing Side Dish: Serve this side dish for holidays or to impress your dinner guests. Everyone goes back for seconds!

Ingredients to Make Mushroom Casserole

With a few pantry ingredients and lots of mushrooms, this mushroom casserole comes together in one pan and bakes together in a casserole dish. The panko topping is the perfect finishing touch to this recipe!

  • Baby Bella Mushrooms: Yes, 2 pounds! It seems like a lot, but they cook down in volume making them perfectly tender and flavorful in this casserole!
  • Garlic: Fresh minced garlic adds flavor.
  • Unsalted Butter: Unsalted butter helps to control the salt.
  • Cream Cheese: Softened cream cheese adds creaminess.
  • Sour Cream: Sour cream brings a tangy flavor to the casserole.
  • Parmesan Cheese: Shredded parmesan melts into the casserole making it cheesy and delicious!
  • Salt: Enhances the flavors in the casserole.
  • Black pepper: Freshly ground cracked black pepper is the best!
  • Panko Breadcrumbs: Add a slightly crunchy texture! You can use plain or seasoned breadcrumbs if you prefer.
  • Fresh Parsley: Fresh chopped parsley gives the panko topping a touch of herb flavor.
Ingredients labeled to make mushroom casserole.

Mushroom Casserole Recipe

This cheesy mushroom casserole is a crowd-pleasing side dish that everyone will devour! You are going to love all of its wonderful flavors and textures! Follow the steps below and on the recipe card.

  1. Cook the Mushrooms: Preheat the oven to 375 degrees Fahrenheit and spray a 2-quart baking dish with non-stick cooking spray. Set aside. Add the mushrooms and 3 tablespoons of butter to a large skillet with the butter and cook for 3-4 minutes over medium heat, until the mushrooms have released their liquid.
  2. Add Garlic and Butter: Stir the mushrooms occasionally and cook for about 10 minutes or until the liquid has mostly evaporated. Add the garlic and 1 more tablespoon of butter and cook for 2 minutes.
  3. Stir and the Cheeses, Salt, and Pepper: Stir in the cream cheese, sour cream, parmesan cheese, salt, and pepper.
  4. Cook and Transfer to Baking Dish: Cook for 3-4 minutes until the cheese has melted and everything is fully incorporated. Transfer the mushroom mixture to the prepared baking dish.
  5. Topping and Bake: In a medium bowl, melt the remaining 2 tablespoons of butter. Add the panko and chopped parsley then stir to combine. Sprinkle the panko mixture evenly over the top of the mushrooms and bake for 15-20 minutes, until the panko has turned golden brown.

Tips and Variations For Mushroom Casserole

Here are some simple tips and ways to make this mushroom casserole recipe your own! This is the tastiest side dish and I know your family will love it!

  • Mushrooms: You may use baby bella mushrooms as listed in the recipe card, but use other varieties such as white button, portabello, or cremini mushrooms. And if you have leftover mushrooms, make these easy air fryer mushrooms or my favorite balsamic mushrooms!
  • Gluten-Free Option: To make this a gluten-free casserole, eliminate the panko topping and instead sprinkle additional parmesan cheese over the top before baking. Top with freshly chopped parsley.
  • Cheese: You may replace the parmesan cheese with gruyere, mozzarella, swiss, or sharp cheddar cheese.
  • Browning Tips: If your casserole is cooked through but your panko topping isn’t browning very well then I have a tip! Turn the broiler on high and let the panko crisp up for 1-2 minutes. Keep a close eye on the casserole because the broiler can cause it to go from golden brown to burned quickly!
Top view of mushroom casserole in a baking dish with a wood serving spoon.

Tip For Cooking Mushrooms

Be sure to let the mushrooms cook long enough for the liquid almost to completely evaporate. Mushrooms have a very high water content and if you don’t let them all cook down, then your casserole will end up watery. Plus cooking down all that mushroom liquid helps concentrate the delicious mushroom flavor!

Storing and Reheating Leftovers

This mushroom casserole is even better the next day because the flavors meld together as it sits! So, I sure hope you have leftovers to enjoy later!

  • In the Refrigerator: If you have leftovers, keep them in an airtight container in the fridge for up to 5 days. To ensure the best texture, I don’t recommend freezing this mushroom casserole.
  • To Reheat: Reheat leftovers in the oven at 350 degrees Fahrenheit for 10-20 minutes. Alternatively, microwave individual portions for 1-2 minutes.
  • Make Ahead: The mushroom mixture of this casserole recipe can be prepared up to 2 days in advance. Store covered in the refrigerator until you are ready to bake your mushroom casserole. Let the casserole come to room temperature while you preheat the oven and make the panko topping. Sprinkle the topping on the casserole before baking!
Close view of a spoon lifting up a cheesy spoonful of mushroom casserole.