Americans could be approaching new levels when it comes to mortgage loan performance. Black Knight Financial Services says, in its "first look" at March data, that mortgage delinquencies during the month were not only at the lowest point they have reached since March 2006, but are the fourth lowest of the current century.

The share of loans that were 30 or more days past due shrank by 14.09 percent from February to 3.62 percent and were 11.40 percent lower than in March 2016.  The number of 30-day + delinquencies dropped by 304,000 from February and by 231,000 year-over-year.

According to an analysis Black Knight did several months ago, March is usually the month with the fewest past due mortgage loans, with a delinquency rate that is typically 7 percent below the rolling 12-month centered moving average.  The company speculated that homeowners used their tax refunds to bring loans current. 

There were 589,000 loan that were seriously delinquent, that is more than 90 days past due.  This is 144,000 fewer than in March 2016 and down 52,000 from February.

Loans in the process of foreclosure declined by another 22,000 from February and 183,000 from a year earlier.  The foreclosure inventory how contains 448,000 loans. The rate of both foreclosure starts and actual foreclosures did tick up during the month.  Starts were up 4.15 percent for the month but the 189,000 starts that occurred in Quarter 1 of 2017 was 18 percent fewer than the same quarter in 2016.  Completed foreclosures rose 22.5 percent from February and slightly less than 5 percent from a year earlier, to 2.29 percent of all active mortgage loans. In total, distressed loans, those 30 days past due or in active foreclosure numbered 2.28 million, the lowest volume in 11 years. 

Finally, the company said that mortgage prepayments, typically a good indicator of refinance activity, appeared to respond to retreating mortgage rates. After hitting a three-year low in February, rose 20 percent in March. However, then is still 26 percent below the March 2016 level.

Black Flag's monthly "first look" is a preview of a more detailed analysis of data from its Mortgage Monitor.  The March edition of Monitor will be available on May 1.