After working on her new album in New York City, Spears, 24, quietly arrived in her hometown with kids Sean Preston, 1, and Jayden James, 8 weeks, in tow.
During her stay, she paid a visit to longtime family friend Nyla Price, 55, owner of Nyla's Burger Basket in nearby Osyka, Miss. – a Spears family favorite – along with her kids and other friends and family.
Spears is "a wonderful mother and she's doing great right now," Price tells PEOPLE. "She looks beautiful with her cute little short hair cut. She's happy and doing just fine. The babies are gorgeous – both of them are so adorable."
Spears and her sons left Kentwood on Tuesday, sources say.