Preheat and prep. Heat your oven to 375°F (190°C). Grease a 9x13-inch baking dish with a little oil or cooking spray.
Sauté aromatics. Warm the oil in a skillet over medium heat.
Add the diced onion and cook until soft, 3–4 minutes. Stir in the garlic and cook 30 seconds more.
Season the chicken. Add the shredded chicken to the skillet, along with chili powder, cumin, smoked paprika, oregano, salt, and pepper. Toss to coat and warm through, 1–2 minutes.
Mix the creamy layer. In a bowl, combine softened cream cheese with 1/2 cup of the enchilada sauce.
Stir until smooth and spreadable.
Assemble the first layer. Spoon a thin layer of enchilada sauce into the baking dish. If using low-carb tortillas or zucchini slices, add a single layer to help structure the casserole. This step is optional.
Add chicken and chiles. Spread half the seasoned chicken over the base.
Sprinkle over half the green chiles. Drizzle on some enchilada sauce.
Spread the creamy mixture. Dollop and gently spread half the cream cheese mixture over the chicken. It doesn’t need to be perfect—just distribute it evenly.
Cheese it up. Add a generous handful of the shredded cheese.
Repeat layers. If using tortillas or zucchini, add another thin layer.
Top with the remaining chicken, green chiles, cream cheese mixture, and about 1 cup more enchilada sauce.
Finish with cheese. Sprinkle the remaining shredded cheese on top. If you like it extra saucy, add a few more spoonfuls of enchilada sauce around the edges.
Bake. Cover loosely with foil and bake for 15 minutes. Remove the foil and bake another 10–15 minutes, until the cheese is melted, bubbly, and lightly browned.
Rest and garnish. Let the casserole rest 10 minutes so it sets.
Top with chopped cilantro, and add jalapeños, avocado, or sour cream if desired. Serve with lime wedges.