According to AFL.com, Spargo and the Demons are in talks to extend the premiership player's contract beyond its expiry at the conclusion of the 2022 season.
The 22-year-old Spargo has become a key piece of the reigning premiers' forward line, having played every game in 2021 and retaining his place in the squad so far this year.
He kicked a goal in each of the Demons' finals in 2021 and was a standout in the preliminary final where he accrued 18 disposals, took eight marks and kicked two goals.
Spargo is a fourth-generation VFL/AFL player: his father Paul played for the Brisbane Bears and North Melbourne in the 1980s and 90s, grandfather Bob played 80 games for the Bulldogs, and great-grandfather Bob Snr for the Demons and Bulldogs in the 1930s and 40s.
Meanwhile, McInerney has resisted pressure to return to his native Victoria at the conclusion of his contract, confirming to AFL.com that he's going nowhere.
"I love the club and Sydney is a great place to live," McInerney said.
"I'll be recommitting, yes."
McInerney, out of contract by the end of the year, has played 32 games for the Swans since being drafted at Pick 44 in the 2018 National Draft, and was named an AFL Rising Star nominee in Round 16 last year after a 22-disposal game against the Eagles.
It was the second time McInerney had been nominated for the award, having been rewarded in 2020 for his 14 touches and two goals against the Demons in Round 15.
Along with fellow youngsters Dylan Stephens, Errol Gulden and Sam Wicks among others, McInerney has helped revitalise a Sydney team that has rocketed back into contention after a short, sharp rebuild of their list.
The defender will miss Thursday's clash with the Bulldogs with a knee sprain that ruled him out of last week's game against Geelong.