But she is able to leave for medical and legal appointments, and she will be free to otherwise travel with permission

Teresa served nearly a year behind bars for bankruptcy fraud and will serve remainder of 15-month sentence in 'home confinement'

'She was happy to be out shopping and back into her routine,' a source tells Daily Mail Online

This was her first outing since being released from the the Federal Correctional Institution in Danbury, Connecticut last Wednesday

It's back to reality for Teresa Giudice. Less than a week after she was released from federal prison for bankruptcy fraud the Real Housewives of New Jersey star was spotted shopping at a local farmers market.

Giudice was full of smiles as she ran errands with friend - and reported new Housewives Season 7 cast member - Dolores Catania.

The two picked fresh produce at the Totowa, New Jersey shop - and it appeared both knew the cameras were watching.

'She was happy to be out shopping and back into her routine. She looks really good,' a source tells Daily Mail Online.

'She looks skinnier than before and even though it was just a trip to the grocery store she was in full makeup and her hair was done.'

Scroll down for video

A fully made up Teresa Giudice shopped for produce at a Totowa, New Jersey farmers market. Her first time out shopping since her release from federal prison last week

Giudice, who is wearing a monitoring anklet, inspected red peppers before bagging them and adding them to her shopping cart

The reality star hugged her friend Dolores Catania. It has been reported that Catania has joined the cast of Real Housewives of New Jersey for Season 7

Giudice and Catania spent their time picking out produce at the farmers market. Both went home with lemons

The two appeared to be in deep conversation as they filled their baskets with fresh fruit and vegetables

Teresa picked out orchids at the market and a source tells Daily Mail Online she gave them to Catania

The source added that she was stopped by an older man out doing his shopping who recognized her and that the reality star was very nice to him and chatted for a bit.

While Teresa wasn't driving her new $90,000 Lexus SUV, she was carrying a studded Valentino handbag that sells for $2,495.

The 43-year-old was freed from the Federal Correctional Institution in Danbury, Connecticut a week ago - just in time to celebrate Christmas with her husband Joe and four daughters - Gia, Gabriella, Milania and Audriana.

While it's widely known that Teresa and her sister-in law, Melissa Gorga, 36, have been at odds for years, the ladies put aside their differences and celebrated Christmas eve together.

Teresa, with her husband and their four daughters enjoyed a traditional Italian meal with her brother, Joe Gorga, Melissa and their kids.

Bravo cameras captured the evening affair which included a private sit down between the sister-in-law.

And just today, Giudice sent a video message to fans saying, 'Hi everyone, I'm back! I just want to wish everyone a Happy New Year. It's gonna be a great 2016. Love, love, love you all.'

The bill for Teresa's shopping items came to about $100. Here she is grabbing strawberries and ginger root

The reality star took time to talk to fans who recognized. She kept a smile and chatted with him for a while reveals a source

While her $90,000 Lexus SUV that she got as a Christmas gift was nowhere in sight, the 43-year-old was carrying a Valentino handbag that sells for roughly $2,500

Teresa looked deep in thought as she took a phone call as she checked out at the register in the shop

Despite it just being a trip to the store, Teresa was wearing a full face of make-up and had her long brown locks curled

Teresa enjoying her new freedom shopped for produce with friend Dolores. The ladies arrived at the Totowa, New Jersey farmers market together

Teresa loaded the grocery bags into the back of her friend's vehicle who drove them both to the store and back

Teresa served nearly a year behind bars and will now serve the remainder of her 15-month sentence in home confinement.

She will however be able to leave her home for reasons such as work or for medical and legal appointments. Teresa will also be allowed to ask for permission to travel to other places from the Federal Location Monitoring Program - which she can then do if they grant her request.

Upon arriving home last week, she was greeted by her family, welcome home signs and a brand new Lexus SUV - that had a giant red bow tied around it.

Teresa and Joe pleaded guilty last year to bankruptcy fraud. The couple had filed for bankruptcy in 2009, claiming $11 million in debt.

They dropped their petitions in 2011, but that bankruptcy filing ultimately led to federal fraud charges against them.

The duo were accused of hiding assets and failing to disclose information about Teresa's Real Housewives salary, their businesses and rental properties.

Joe is set to begin his 41-month sentence in March.