Coconut Lime Margarita Recipe

Craving a taste of the tropics? This Coconut Margarita delivers creamy coconut flavor balanced with bright citrus and smooth tequila. A refreshing twist on the classic margarita that’s perfect for sunny days or whenever you need a mini-vacation in a glass.

This coconut margarita recipe brings together creamy coconut flavor with bright lime and smooth tequila for a tropical twist on the classic cocktail! What makes our version special is how we’ve balanced the richness of cream of coconut with fresh citrus to create a drink that’s both indulgent and refreshing. The result is a wonderfully smooth margarita that still delivers that lime zing we all love from a classic margarita.

As someone who’s been crafting cocktails and perfecting easy cocktail recipes at home for over fifteen years, I’ve learned that the secret to an amazing margarita lies in getting the proportions just right. I’ve tested countless variations of this recipe, adjusting the ratios of coconut cream to lime juice until I found the sweet spot that creates restaurant-quality results every time. Each recipe on our site goes through multiple rounds of testing to ensure you get consistent, delicious results.

While our other margarita variations like cranberry margaritas and pineapple margaritas remain reader favorites, this coconut version offers something uniquely satisfying. The cream of coconut transforms the traditionally bright margarita into something wonderfully creamy while maintaining all the refreshing qualities that make a good margarita so irresistible. After one sip, you’ll understand why this has become our new go-to tequila cocktail!

Coconut Margarita Recipe Ingredients

• Cream of Coconut. Cream of coconut is what gives this tropical margarita it’s coconut flavor. It also adds sweetness to our drink.
• Fresh Lime Juice. Lime juice is a standard ingredient in margaritas, and adds a lovely pop of citrus to our drink. Fresh squeezed tastes best, but if you’re in a pinch, you can also use bottled.
• Orange Liqueur. Orange liqueur is another common ingredient in margaritas that adds additional citrus notes and sweetness to our drink. We’re using Grand Marnier (it’s the type of orange liqueur we keep in our cabinet), but Cointreau or Triple Sec are both great options commonly used in margaritas too.
• Blanco Tequila. A high quality tequila makes a high quality margarita!
• Ice. Used for shaking and serving.
• Optional Garnish: Lime Wedge. Simple and easy, pop a lime wedge on the edge of your glass (or just toss it right in!).
• Optional Rim: Toasted Coconut. Lean into the coconut vibe by rimming your glass with some toasted coconut! If needed, this article on how to toast coconut is very helpful.

See the recipe card at the bottom of the page for all ingredient measurements and recipe details.

What’s the Best Tequila for Margaritas?

Tequila blanco, also known as white tequila or silver tequila, is the best tequila for margaritas. This unaged tequila is considered the purest form and has a clean, crisp flavor that let’s the other ingredients shine. Because of it’s flavor and price-point (affordable), blanco tequila is often considered one of the best types of tequila for mixed drinks.

How to Make a Coconut Margarita

If rimming your glass, add a line of cream of coconut to the rim of your serving glass and gently press it into your toasted coconut. Set aside.

Add the tequila, orange liqueur, lime juice, and cream of coconut to a cocktail shaker half filled with ice.

Tightly cap and shake vigorously until the outside of the shaker is very cold (about 15 seconds).

Strain the contents of the shaker into your serving glass (either a rocks glass or margarita glass) with ice.

Add a lime wedge to the rim or into the cocktail for garnish if desired.

Sip and enjoy!

Coconut Lime Margarita Variations

• Rim your glasses with salt, sugar, or a mixture! We’re showing our glasses rimmed with toasted coconut, but you can definitely rim your glasses with regular salt, sugar, or a salt/sugar mixture if desired.
• Make it sweeter with more cream of coconut. We like the level of sweetness in this drink, but you can definitely make it sweeter by adding another ½-1 ounce of cream of coconut. Taste the cocktail and adjust to your liking.
• Make it sweeter by adding a splash of simple syrup. If desired, add ½ – 1 ounce of simple syrup to your drink. We always use homemade simple syrup because it’s quick and easy to make, and you can store it in your fridge for up to a month.