David Foster and Katharine McPhee Are Dating, Says Source

David Foster and Katharine McPhee are reportedly an item.

A source recently spoke with Us Weekly and confirmed the two are in a relationship. "It's a little more than casual, but they're not exclusive," said the insider. "Kat thinks they should be a little more serious, but it's mainly casual on his part."

Additionally, the insider revealed that McPhee has already spent time with Foster's family. "She's gone out to dinner with his daughters Erin and Sara," the source continued. "Kat was with them at David's charity event [in Vancouver on Saturday, October 21]."

The news comes just days after the "American Idol" alum was spotted walking arm-in-arm in Brentwood, California, over the weekend. The brunette beauty and the music producer were out and about for what seems like a date night. At one point, Foster was using an ATM when McPhee grabbed his posterior. She also gave him a peck at the cheek while waiting.

Their outing was just one of the several times they have been seen together. Despite all the rumors, a source close to the couple told PEOPLE that they are just friends. The insider also said they might just be having "some fun" at the expense of the paparazzi.

"They are dear, old friends who genuinely love spending time together, but it is nothing more than that," the source explained. "They are also, however, both savvy enough to see quite obvious paparazzi stalking them, and they know how to have some fun with them."

Foster is a single man following his split from his fourth wife, "The Real Housewives of Beverly Hills" star Yolanda Hadid. Their divorce was finalized in May. The former couple called it quits in December 2015 after nine years of being together.

McPhee, on the other hand, was previously married to her manager Nick Cokas. They filed for legal separation in February 2016.