This Green Enchilada Sauce is a homemade sauce recipe that is mildly spicy delicious. It is quick and easy to make and is great for topping enchilada recipes, tacos, and quesadillas for an added punch of flavor.

Homemade Green Enchilada Sauce on a spoon

Green Enchilada Sauce is a staple in our home. I love to eat it on everything! This recipe is a naturally low carb recipe making it even more appealing to my family! My favorite way to enjoy it is on Low Carb Chicken Enchiladas or as a topping on these Pulled Pork Tacos!

Making my own low carb homemade sauces

Since for the most part, we eat low carb, I like to make my own sauces so I know what is in them. Just 2 tablespoons of his homemade green enchilada sauce recipe are 3 net carbs. It has real ingredients and no preservatives. A win-win situation for us!

I love making my own homemade sauces. It costs less to do so, and they actually taste better than store-bought. I have always been a person who likes to cook from scratch, however, I have been known in the past to go for convenience.

Since I work from home and my job is taking care of the household and garden, making my own food from scratch is much more important to me. I like the fact we are taking care of our own needs, rather than a grocery store. The satisfaction of making everything we consume on our own is very rewarding.

chilis, onion, and garlic in a skillet

What you need to make homemade green enchilada sauce

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Diced Green Chilies: I used canned green chilis to make this recipe. If you don’t can your own chilis, then you can buy them canned.

White Onion: Fresh or frozen onion will work in this recipe.

Jalapeno Peppers: Fresh or frozen jalapenos will work in this recipe.

Garlic Cloves

Ground Cumin

Chicken Broth: I make my own chicken broth, but canned broth or broth made from bouillon cubes will work also.

Arrowroot Powder (optional)

thickened sauce in a pan

Why do you use Arrowroot powder in this recipe?

I use the arrowroot powder to thicken the sauce. Plain and simple, arrowroot is keto-friendly. We really try to stay low carb for the most part. We are not perfect on this diet, but we do try!

Arrowroot powder is a tuber that is dried and ground down. It is keto and paleo-friendly and it does the job to thicken sauces. You do not need much in this recipe (just 1 teaspoon) and over 8 servings, which reduces the carb count considerably.

You do not have to use the arrowroot powder to make this sauce. It will be a little more liquidy, but that is fine. It will still taste amazing!

Homemade Enchilada Sauce in a pint jar

How to use this sauce recipe

The flavor of Green Enchilada Sauce is so delicious I could eat it by the spoonful! However, there are many ways you can use this sauce. Below are some of my favorite ways!

  • Use homemade green enchilada sauce in place of the red enchilada sauce in this Chicken Enchilada Casserole.
  • Green Enchilada Sauce can be used for a dip with tortilla chips, or if you are low carb, try these zucchini chips or parmesan cheese crisps.
  • Toss enchilada sauce with some cooked pasta, diced cooked chicken, corn, diced red bell pepper, and Monterey jack cheese. Put it all in a casserole dish and bake!
  • Drizzle the sauce over tamales or, use it in place of the sauce in this Big Mac Casserole (it is delicious, we have done this!)

How to store homemade sauces

This recipe makes just a little over 1 pint of green enchilada sauce. When making this for an enchilada recipe, you will likely use the whole recipe.

If you are making this to use in tacos, to top eggs, whatever, it can be stored in the freezer for up to 1 week.

If you will not be using this sauce within a week, I recommend freezing half of it. I use pint-sized freezer bags. I fill the bag, seal it and remove the air from the bag. Then it can be frozen for up to 3 months.

low carb green enchilada sauce

Make this enchilada sauce your way

This recipe is super easy, there really isn’t much you can do wrong, however, there are ways you can jazz it up or make substitutions for.

  • Toss some chopped fresh cilantro into the skillet with the jalapeno pepper, onion, and garlic.
  • Use canned hatch green chile in place of the diced green chili.
  • Amp the heat up a little leave the seeds in the jalapeno.
  • Mix in 2 teaspoons of lime juice with the chicken broth.
  • Roast 2 large poblano chilis on a large baking sheet, remove from the oven and place in a ziploc bag and seal. Allow to sit for 5 minutes, then remove the skins from the chilis, dice, and substitute for the canned chilis.

Other Mexican food recipes to try

Cheese Enchiladas with Red Sauce

Roasted Shrimp Enchiladas with Cheesy Jalapeno Sauce

Loaded Nachos

Homemade Taco Seasoning

Low Carb Chicken Enchilada Casserole

Avocado Egg Chilaquiles

Chipotle Butternut Squash Enchiladas

*If you made this Homemade Green Enchilada Sauce Recipe, please give it a star rating*

Homemade Green Enchilada Sauce

Mildly spiced this Green Enchilada Sauce is a great topping for many tex-mex recipes.
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Print Pin Rate
Course: Keto Condiments
Cuisine: American
Keyword: green enchilada sauce, homemade sauce recipe
Prep Time: 10 minutes
Cook Time: 15 minutes
Total Time: 25 minutes
Servings: 1 pint
Calories: 57kcal


  • 2 tablespoons olive oil
  • 1/2 cup diced onion
  • 1 large jalapeno pepper diced
  • 4 cloves garlic minced
  • 1 cup canned green chilis
  • 1 cup Chicken Broth
  • 1 teaspoon Arrowroot powder optional


  • Heat the olive oil in a large skillet, over medium-high heat until hot.
  • Add the onion and jalapeno pepper. Cook and stir for 2 minutes, until onion and peppers have softened.
  • Add the garlic cloves and cook and stir for 2 minutes.
  • Stir in the canned green chilis. Cook for 1 minute.
  • Whisk the arrowroot powder (if using) and chicken broth until powder is dissolved.
  • Gradually add the chicken broth to the chili mixture, whisking constantly.
  • Bring the green enchilada sauce to a boil. Reduce heat and simmer for 10 minutes, or until the sauce has thickened.
  • Use as desired or store.



Serving: 2tablespoons | Calories: 57kcal | Carbohydrates: 4g | Protein: 1g | Fat: 4g | Fiber: 1g

About the Author: Shelby Law Ruttan

Shelby is the author/owner of Grumpy's Honeybunch. Established in 2007, she shares and preserves family recipes as well as recipes for cooking light and keto. She is an experienced, self-taught home cook who loves to share recipes with others. You can see her work on websites such as Veal Made Easy, Parade, Community Table, SoFab Food, Yummly, and FoodGawker.


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Shelby Welcome! I'm Shelby, author of Grumpy's Honeybunch. I have been sharing family favorite recipes since 2007. I started the Keto Diet in October 2017 and since then I have been creating Keto ... read more

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