On March 2003, Álvaro Fernández Carreras was born in Spain.
In 2007, Álvaro Carreras joined Racing de Ferrol, his hometown club, after starting his career with Galicia de Caranza.
In 2012, Álvaro Carreras joined Deportivo de La Coruña's youth ranks, where he transitioned to playing as a left-back.
In 2017, Álvaro Carreras moved to Real Madrid U13.
In September 2020, Álvaro Carreras signed a four-year contract with Premier League club Manchester United after leaving Real Madrid.
During the 2021–22 season, Álvaro Carreras played 21 times in the league for Manchester United's under-23 team, as well as featuring in the EFL Trophy and UEFA Youth League.
During the early stages of the 2021–22 season, Álvaro Carreras began training with the first team of Manchester United.
In 2021, Manchester United listed Álvaro Carreras under his paternal surname, Fernández, for the group stage of the 2021–22 UEFA Youth League, making "both his mother and father happy".
In April 2022, Álvaro Carreras received his first call-up to the Manchester United first team, being named on the bench for the Premier League match against Chelsea.
On 11 May 2022, Álvaro Carreras was named Manchester United's U23 Player of the Year.
On 26 July 2022, Álvaro Carreras joined EFL Championship club Preston North End on loan for the 2022–23 season. He debuted on 30 July 2022.
On 1 September 2023, Álvaro Carreras joined La Liga club Granada on a season-long loan.
In January 2024, Álvaro Carreras was loaned to Benfica for the remainder of the 2023-24 season.
On 14 January 2024, Álvaro Carreras was recalled by Manchester United from his loan at Granada.
On 17 January 2024, Manchester United sent Álvaro Carreras on loan to Primeira Liga club Benfica until the end of the 2023–24 season.
On 26 May 2024, Manchester United announced that Benfica had exercised the €6 million buy option in Álvaro Carreras' loan contract.
In 2024, Álvaro Carreras departed Manchester United without making his debut for the senior team.
On 14 July 2025, Álvaro Carreras returned to Real Madrid, signing a six-year deal for a reported €50 million.
On 19 August 2025, Álvaro Carreras made his debut for Real Madrid in a 1–0 victory over Osasuna.
Following the exercise of the buy option in his loan contract, Álvaro Carreras signed a new contract with Benfica until 2029.
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