The Federal Home Loan Mortgage Corp. bought $1.3 billion in existing apartment loans last year and $1.8 billion in 1989, not the lower numbers cited in a Business article Tuesday. (RP 1/29/91)

ATLANTA, JAN. 21 -- The Federal Home Loan Mortgage Association (Freddie Mac) is planning to resume its mortgage lending for apartment building by year's end, Chairman Leland Brendsel said yesterday.

The secondary mortgage-market company suspended the program in September in the face of soaring loan losses. The action has contributed to delays and cancellations of apartment construction across the country.

Brendsel told members of the National Association of Home Builders meeting here that he is working to reinstate a revamped version of the program. "We were buying loans from lenders more interested in earning fees for short-term profits than in making sound loans for sale on the secondary market," Brendsel said.

Before the program suspension, Freddie Mac was funding $1 million to $1.5 million in apartment loans a year, Brendsel said. The volume was down to two-thirds to three-quarters of that in 1990, he said.

Brendsel, who says he personally has taken over direction of the apartment loan program, said he will not reinstate the program until he has hired a new staff and identified a better grade of lenders with whom to do business.

"We made several mistakes {in regard to the apartment lending program}. We managed with using the same housing policies, staff and organization as our single-family loan program. We did not recognize that the multifamily business is different, requiring different resources."