This baked potato soup recipe turns every bit of a loaded baked potato into a warm, creamy bowl you can eat with a spoon. Think crispy bacon, sharp cheddar, and a dollop of sour cream, all folded into a rich potato base. The potatoes get baked first instead of boiled, and that one step is what gives this soup its deep, roasted flavor.
Bake the Potatoes: Preheat oven to 400°F (200°C). Scrub potatoes, pat dry, and poke with a fork. Bake directly on oven rack or on a baking sheet for 50-60 minutes until tender. Let cool for 15 minutes.
Cook the Bacon: Cook bacon in a large Dutch oven over medium heat for 6-8 minutes until crisp. Transfer to a paper towel-lined plate and crumble when cool. Reserve about 2 tablespoons of bacon fat in the pot.
Sauté Onion and Garlic: Add butter to the bacon fat and melt over medium heat. Sauté onion for 4-5 minutes until soft. Add garlic and cook for 30 seconds, stirring constantly.
Make the Roux: Sprinkle flour over the onion mixture and whisk constantly for 1-2 minutes until slightly toasted.
Add Liquids: Slowly pour in chicken broth while whisking, then gradually whisk in milk. Bring to a gentle simmer and cook for 5 minutes until slightly thickened.
Add Potatoes: Peel and cube the baked potatoes. Add to pot with salt and pepper. Gently mash about one-third of the potatoes with a potato masher to thicken. Simmer for 10 minutes.
Add Cheese and Sour Cream: Reduce heat to low. Stir in 2 cups of cheddar cheese until melted. Stir in sour cream until smooth. Adjust seasoning to taste.
Garnish and Serve: Ladle soup into bowls. Top with remaining cheddar, crumbled bacon, and green onions. Serve immediately.
Notes
Make Ahead: Bake potatoes and cook bacon up to a day in advance to save time on soup day. The full soup also tastes even better the next day.
Cheese Matters: Always shred your own cheddar cheese instead of using pre-shredded bagged cheese, which contains anti-caking starches that prevent smooth melting.
Temperature Control: Keep the heat low when adding cheese and sour cream to prevent the dairy from splitting or the cheese from turning grainy.
Thickness: For a thicker soup, mash more of the potatoes directly in the pot, or let the soup simmer uncovered for a few extra minutes to reduce the liquid.
Storage: Store leftovers in an airtight container in the refrigerator for up to 4 days. Reheat gently on the stovetop over low heat, adding a splash of milk if needed.
Freezing: This soup freezes well for up to 2 months in a freezer-safe container. Thaw in the refrigerator overnight before reheating. Texture may soften slightly but flavor remains excellent.
Variation: Swap half the cheddar for pepper jack cheese for a spicy kick, or stir in cooked, crumbled sausage instead of bacon for a heartier version.
Vegetarian Option: Replace chicken broth with vegetable broth and omit the bacon (or use a plant-based bacon alternative) for a vegetarian version.
Lighter Version: Use Greek yogurt instead of sour cream and reduced-fat cheese to lighten up the soup while still maintaining creaminess.
Rustic Texture: Leave the potato skins on when cubing for added fiber and a more rustic texture.