Tori Spelling and Dean McDermott regroup as a family as they maintain a healthy co-parenting relationship

LOS ANGELES, CALIFORNIA: Tori Spelling and Dean McDermott are reportedly finding themselves in a much healthier space as they navigate their life separately following their split in 2023.

"Tori and Dean are in a much better space," a source revealed to ET.

"Dean has been taking care of himself, which has made it easier for him and Tori to co-parent. Dean has been more involved with their kids, and they're all doing well and regrouping as a family," the insider added.

Tori Spelling and Dean McDermott continue to move on in their romantic lives

The source further added that the estranged couple is moving forward with their romantic lives.

McDermott has been romantically linked with Lily Calo while Spelling has been seen with Ryan Cramer.

Following their split, Spelling and McDermott are reportedly doing well as they and their children, Liam, 16, Stella, 15, Hattie, 12, Finn, 11, and Beau, seven, are adjusting to their new reality.

Inside Dean McDermott's struggles with mental health and substance abuse

McDermott who is also the father of 24-year-old Jack from a previous relationship opened up about his struggles with mental health and substance abuse.

Recounting a harrowing experience following their separation in June 2023, McDermott confessed, "After I sent the post, I took some more pills, and I took six or seven Ambien in the hopes that I would not wake up."

"Thank God I did. Because I would've ruined so many lives if I had died," he added.

He then decided to focus on his well-being by residing in a sober living home after his 40-day rehabilitation stay.

Dean McDermott says Tori Spelling deserves to be 'loved and happy'

McDermott previously expressed his desire for Spelling's happiness despite the pain of seeing her with someone else.

"I did see the photographs of Tori kissing another man, and it hurt, I'm not going to lie," he confessed.

"But she's given it to me for 18 years, and I've been so hard and brutal on her that I just want her to be loved and happy. She deserves it," McDermott added.

A source previously shared with ET that Spelling "is having fun and enjoying getting back out there," referring to the early stages of her romance with Cramer.

"She doesn't mind that the news of her dating is public. She is moving on too from her relationship with Dean. Things are still new with Ryan and they are talking and getting to know each other," the source added.

"He's a chill guy and that's nice for Tori right now. Her friends are surprised by the recent romance, but also happy for her," the insider added.