Photo: Instagram/sussexroyal

Meghan Markle and Prince Harry are preparing to celebrate their first Christmas in California, alongside their son, Archie, a source recently told PEOPLE.

The source added that they are "excited to decorate for Christmas." The tipster continued: "They are very happy. Archie is thriving and growing quickly. As a family, they spend hours outside."

Meghan, Harry, and Archie are now living happily at their new home in Montecito. Aside from celebrating Thanksgiving recently, the family celebrated Halloween as well.

Meanwhile, PEOPLE reported that the former "Suits" actress's mom, Doria Ragland, will probably join the family for the holidays.

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