Foreclosure activity in Massachusetts decreased in February, largely due to improving economic conditions along with a revitalized real estate market, according to the latest report from the Warren Group released Tuesday.

The report noted that there was a 38 percent drop in foreclosure filings in Massachusetts in March compared to February, with a total of 856 foreclosure petitions. Warren Group is a Boston firm that records and follows local real estate activity. The group says there were 1,796 foreclosure petitions filed so far this year, which is a 34 percent decline from 2,727 recorded during the same period last year.

Foreclosure petitions are the first step in the foreclosure process in Massachusetts. The decline in foreclosure petitions were fueled by improvements in the job market, a booming real-estate market as well as lenders' willingness to do short sales and modify loans, said Warren Group CEO Timothy Warren.

"Seeing four consecutive months of petitions below 1,000 is a promising sign," Warren Group chief executive Timothy M. Warren Jr. said in a statement. "The improved jobs picture and lenders' willingness to do short sales and loan modifications are helping to fuel the decrease. Hopefully, this continues and improves consumer confidence as well."

"More personal income makes it easier for people to catch up on delinquent mortgages," Warren said in a podcast published on his group's website. "And more confidence in the economy and the real estate market helps borrowers to avoid feeling helpless."

"Seeing four consecutive months of petitions below 1,000 is a promising sign," he said.