Heat a skillet over medium heat and add olive oil or butter. Once hot, add sliced mushrooms and cook for about 8–10 minutes until golden and tender. Stir in minced garlic and cook for an additional minute until fragrant.

Lower the heat and add softened cream cheese and sour cream to the skillet. Stir continuously until fully melted and creamy.

Gently fold in half of the shredded mozzarella cheese and all of the grated Parmesan cheese into the mixture. Stir until completely melted and smooth.

Preheat your oven to 375°F (190°C). Transfer the dip to the oven and top with remaining mozzarella cheese. Bake for 15–20 minutes until bubbly and golden.

Remove from oven, let cool briefly, and garnish with thyme or parsley. Serve warm with toasted baguette slices, crackers, or veggies.