The pair were spotted having lunch at New York’s Little Doms restaurant over the weekend and later strolled hand-in-hand on a walk.
A source said: “They look really happy together.”
Last month, the 25-year-old screen beauty admitted she is a "practical romantic" and can't understand why people play games in relationships as she prefers to be honest about her feelings.
She said: "I like love stories, and acting in love stories, so I suppose that's the romantic side of me but I am quite practical.
"My friends at school used to say, 'If a guy texts, you can't text back for three days.' I was always like, 'B******s! Text back.' I'm a practical romantic.
"I'm a hopeless romantic and I always say how I feel. I say things as I think them."
Carey believes her open attitude leads to less problems in her relationships.
She explained: "I can be in a mood for half a day and then say everything, but I would never hold on to a feeling for years.
"I think it's better to be open most of the time. If you put something out there and it doesn't work, then you can forget about it and carry on."