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December 28, 2016 04:20 PM

Jennifer Lopez and Drake continued to fuel romance rumors Wednesday morning when they simultaneously posted the same cuddly photo on their Instagram accounts, and now a source tells PEOPLE things are heating up.

“Jen is looking forward with excitement to the new year. She keeps hanging out with Drake, and he has visited her house,” says a Lopez source. “She has nothing but nice things to say about Drake.”

Last week, an insider told PEOPLE the duo were just friends and were working on music together, but also spending plenty of time together.

But the Lopez source says while they “do work on music together,” the pair also “clearly enjoy each other on another level, too.”

“Jen loves the attention and she seems very happy to be spending time with him,” says the Lopez source. “Drake is very charming. He treats Jen with lots of respect. She seems very smitten.”

Last Monday, Lopez, 47, and Drake, 30, were spotted attending the same party at L.A. hotspot Delilah. The rapper also attended her residency show — twice — at Planet Hollywood recently.

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