Easy Creamy Coconut Caramel Sauce

Fool Proof, easy, creamy COCONUT Caramel Sauce is 1000X better than store bought and will have you drinking it from the saucepan!

Coconut Caramel Sauce in a jar ans serving spoon.


 

Forget the old adage of “licking the spoon,”  this Coconut Caramel will have you guzzling it  – straight up.

Top view of Coconut Caramel Sauce in a jar and serving spoon.


One of my favorite recipes ever is my Easy Creamy Caramel Sauce, and judging by reviews, its one of my readers favorites too.  My sister-in-law even gifts jars of the caramel at Christmas time -such a great idea- I’d want that gift over anything any day!

Showing how to make Coconut Caramel Sauce mixing in a pan.

But from now on we all have a very hard decision to make.  Classic Caramel Sauce or Coconut Caramel Sauce?

Close up of Coconut Caramel Sauce dripping off a spoon.

The decision couldn’t be more daunting.   I guess you will just have to do a side-by-side taste test comparison.  That might be the best date night/girls night ever!

Top view of Coconut Caramel Sauce in a clear jar and serving spoon.

If you’ve made my classic caramel, you will quickly recognize making this Coconut Caramel is very similar.  It too is FOOL PROOF – no burning this caramel – and so easy!  You simply boil butter, brown sugar and a smidgen of water for 5 minutes then instead of stirring in evaporated milk as in the traditional version, you stir in velvety coconut milk and a splash of coconut extract.   How something so easy can be SO DELICIOUS is beyond me.   The effort/time ratio to deliciousness factor qualifies as a foodie miracle in my book.

Pouring Coconut Caramel Sauce over top red apples.

This coconut caramel is sweet, rich, creamy, buttery with an undertone of coconut and 1,000 times better than any store bought caramel.  Its amazing smothering ice cream, brownies, blondies, apples, bananas, strawberries, pancakes AKA everything!

Dipping apples in Coconut Caramel Sauce.

It will be another foodie miracle if you can decide what to smother first.

 

Easy Creamy Coconut Caramel Sauce

Servings: 2 cups
Total Time: 5 minutes
Cook Time: 5 minutes

Save This Recipe To Your Recipe Box

You can now create an account on our site and save your favorite recipes all in one place!

Ingredients

  • 3/4 cup unsalted butter
  • 1 1/2 cups light brown sugar, firmly packed
  • 2 tablespoons water
  • 1/4 teaspoon salt
  • 1/2 cup quality full fat coconut milk, plus more as needed (I use Chaokoh)
  • 1/2 teaspoon coconut extract
  • 1 tablespoon vanilla extract

Instructions

  • Add butter, brown sugar, water, and salt to medium saucepan and heat over medium heat, stirring until butter melts.
  • Bring to boil for 5 minutes (it will bubble a lot!), stirring occasionally.
  • Remove from heat and stir in ½ cup coconut milk, vanilla and coconut extract. Let rest 10 minutes to thicken then taste and add additional coconut extract if desired. Caramel will continue to thicken upon standing. If you would like the Coconut Caramel Sauce thinner, simply stir in more coconut milk to reach desired consistency.

Notes

Store in the refrigerator in an airtight container for 5-7 days.
This caramel reheats beautifully in the microwave or stovetop.
You can also freeze the sauce for up to 3 months. Just make sure to use an airtight container that’s NOT glass because the milk expands when frozen and can rupture the glass. Defrost the sauce overnight in the fridge and warm gently before using.

Did You Make This Recipe?

Tag @CarlsbadCravings and Use #CarlsbadCravngs

Leave a Review, I Always Love Hearing From You!

Carlsbad Cravingsยฉ Original

Reader Interactions

leave a review

Your email address will not be published. Required fields are marked *

32 Comments

    • Jen says

      Thanks Janette! I love coconut everything so coconut caramel was a must ๐Ÿ™‚

    • Sheena says

      I just made this to use on homemade caramel corn. I don’t think it’s going to work because I just went to stir the popcorn in the oven and it doesn’t look like it’s going to get hard which I should have realized by the fact that it’s called a sauce. Anyway it’s delicious, I’ll just have some super chewy popcorn, or soggy maybe but that’s my fault. Glad I have extra to use it on something else.

      • Jen says

        I am so glad it was yummy! I hope you find lots of things to enjoy it with!

  1. Melissa says

    Holy cow! I need to give this a try ASAP! What a perfect topping for ice cream!

    • Jen says

      Thanks so much Melissa! Yes, the perfect ice cream topping or everything topping! hope you love it!

  2. Tameeca Harris says

    Hi Jen! I am a kidney doner and a lover of great food! I am so glad I found your site! Please continue loving life as it shows in your recipes!

    Sincerely,
    Tameeca Harris

    • Jen says

      Hi Tameeca, you are a true hero! THANK YOU for being a kidney donor and changing someone’s life forever. There truly is no greater gift! God bless you!!

  3. bruno says

    Hello Jen, I was wondering if it’s okay to use homemade coconut milk instead of store bought can milk?

    • Jen says

      Hi Bruno, I have never tried it but I don’t see why not! Let me know how it goes!

  4. Sam says

    Can I use coconut oil instead of butter make it a vegan caramel sauce?

    • Jen says

      Hi Sam, I have never tried it with coconut oil – I assume the consistency would be fine but not sure it would taste the same as caramel is very buttery. If you try it, please let me know how it turns out!

      • Mel says

        I made this with dairy-free spread in place of butter to make it vegan and it worked a treat (I used Nuttelex buttery).

        • Jen says

          Awesome Mel, I’m so happy that worked to make it vegan! I will make a note of that in the recipe! Thank you!

  5. Tracey says

    Can you use this to make Caramel Apples? Like dip the entire apple in it?

    • Jen says

      Hi Tracey, I would recommend a different recipe for Caramel Apples – one that has corn syrup in it. Good luck!

  6. Andy says

    Can I use brown coconut sugar in place of let brown sugar.

    • Jen says

      I haven’t tried it but it sounds dreamy!

  7. KF says

    Thanks for the recipe! I made it with coconut oil and coconut sugar, and after 8 minutes when it looked like it would not come together, I drained off the oil that had not mixed in with the sugar and added the coconut milk. It came together nicely, and was delicious!

    • Jen says

      Thank for taking the time to comment! I’m so pleased you were able to make it work with those adjustments – sounds so deliciously extra coconut-y!

  8. Erinn says

    This recipe is so good, I love the combination of caramel and coocunt. Chocolate cake+vanilla ice cream topped with this sauce+ the caramelized pecan recipe=DELICIOUS! What more can be said, thanks for sharing.

    • Jen says

      Oh my goodness, I am drooling over your cake – what an incredible combination!

  9. Jen says

    This was amazing!! The only substitution I made was using coconut sugar instead of brown sugar as I can’t have refined sugar and we left out the coconut extract. It was so good!!!!!!!!

    • Jen says

      Thanks Jen, I’m so pleased you loved it!

  10. Estrela says

    Hi, can we sub or omit the coconut extract?

    • Jen says

      Of course, the coconut flavor just won’t be as strong.

  11. Christine Van Pelt says

    Can this be made with coconut cream instead?

    • Jen says

      Yes! It will just need to be diluted. Whisk 6 Tablespoons of the cream with 2 Tablespoons of water to make a coconut milk substitute. Hope this helps!

  12. Mary Ross says

    So good! I used country crock plant butter, organic brown sugar, and Thai kitchen 2 ingredient coconut milk and followed the directions. After I added the coconut milk, I did have to cook it about 10 min longer to thicken up more. I did not add coconut flavoring. Made about a pint of caramel. This would be gluten free, vegan, safe for alpha gal allergies.

    • Jen says

      Thank you for sharing! I’m glad it was customizable!

  13. Leslie Rogers says

    Does this sauce process(can) well?

    • Jen says

      Unfortunately, homemade caramel sauce isnโ€™t ideal for canning due to its high fat content (from butter) and lack of acidity to prevent bacterial growth. Sorry!