Born in Toronto and raised in Winnipeg, Manitoba, Sarah Carter was a dedicated dancer and took part in various school plays including The Wizard of Oz in which she played Dorothy. She was also a member of the debate team, which allowed her to travel all over the world. After graduation she took a year off to see Europe, then joined Ryerson Theatre School in Toronto, where she was discovered while performing a monologue.

Carter quickly landed her first guest appearance in the series Wolf Lake (2001) and followed that up with a turn in Dark Angel (2000). She then went on to guest in the series Undeclared (2001).

Making the leap to the big screen, Carter was cast in the psychological thriller Mindstorm (2001) starring Eric Roberts Michael Ironside, and Antonio Sabato Jr.She portrayed the kidnapped daughter of a senator whose abduction ultimately unravels her dark hidden life. Carter can also be seen in the film Final Destination 2 (2003), the sequel to the hit film Final Destination (2000), but it is only a few scenes before she is one of the first people to be killed.

Carter got her first main TV role in Black Sash, in which she played Allie Bennett who is a major character in the series. She used her background of dancing for one of the episodes and was taught martial arts for the series, which would later help for her performance in DOA: Dead or Alive. Black Sash filmed eight episodes, but the show was cancelled after six episodes were aired.

Her breakthrough role was appearing in three episodes of Smallville (one in Season 3 and two in Season 4) as Alicia Baker who had the ability to teleport herself or other things/people. Her character had a romantic relationship with Clark Kent, as portrayed by Tom Welling but was killed off during her third appearance. Carter then acquired her first big film DOA: Dead or Alive as Helena Douglas, the daughter of the late Fame Douglas, and played a fighter who enters the DOA Tournament. Her character also develops a romantic storyline with Weatherby played by Steve Howey.

Her most recent role is as Zelda Sparks in Killing Zelda Sparks, where she is one of the three main characters working alongside Colm Feore and Vincent Kartheiser

She currently portrays Madeline Poe in Shark. Her character is a rookie prosecutor, who decides to learn from Sebastian Stark (James Woods).