Borger Management Inc. has renovated 118 rent-controlled apartment units in two Northwest Washington apartment buildings without displacing any residents or receiving any funding from either the federal or District government. Extensive renovations of rent-controlled buildings in the District, without any government assistance, are somewhat unusual.

G. Thomas Borger, president of Borger Management, said the company financed the $1.13 million renovation job with conventional financing from the National Bank of Washington and the Washington Mortgage Group.

Luzon Associates Limited Partnership, the subsidiary established to handle the renovations, spent $880,000 on 67 units in a building at 6600 Luzon Ave. for a new roof, new kitchens, new electrical service and cosmetic improvements. The limited partnership spent $250,000 on 51 units in a building at 6506 14th St. for a new roof, central air-conditioning, replacement of some kitchen appliances and cosmetic improvements.

Borger said that rents were increased to cover the cost of the renovations. In the building with the more extensive work, rents increased by $64 a month to $522 for a one-bedroom unit and to $574 for a two-bedroom unit. In the other building, rents were boosted by $31 a month to $493 for a one-bedroom apartment and to $613 for two bedrooms.

More than $17 million in low-interest mortgage money is available for the purchase of dwellings in seven counties throughout Maryland, state Department of Economic and Community Development officials have announced.

The low-interest mortgage money can be used to purchase 297 single-family detached homes, town houses and condominium units in 17 newly constructed developments in the counties of Baltimore, Frederick, Harford, Howard, Montgomery, Washington and Wicomico, agency officials said.

The below-market-rate mortgages will be available on a first-come, first-served basis to qualified borrowers, officials said.

Those who earn less than $33,000 a year are eligible to participate in the program, which has interest rates ranging from 9.5 percent to 10.25 percent, depending on income, the economic development agency said.

In addition, the agency said, developers have the option to buy down the initial interest rates to as low as 7.5 percent, depending on the borrower's income. In the case of a buy-down, the initial interest rate will increase for the first four years, after which it will remain fixed.

The 30-year, fixed-rate mortgages are being offered through the state's Homeownership Development Program, which finances the new construction or rehabilitation of single-family housing for sale to home buyers with moderate incomes. Prices of homes approved for the loans range from about $40,900 to $69,900, the agency said.

Borrowers must be first-time home buyers, except in Hagerstown, where they can own property at the time of the purchase.

The program is financed with the proceeds of bonds sold by the Community Development Administration, a division of the Department of Economic and Community Development.

Homes became more affordable to the typical American family in January because of declining mortgage rates and only modest increases in prices, the National Association of Realtors reported.

The association's housing affordability index rose 0.8 of a point to 101 in January, meaning that a family with the median annual income of $28,054 had $275 more than was required to qualify to buy a home for $77,000. The typical family could have afforded a home priced at $77,700.

Fifty-two percent of the existing homes sold in January were purchased at or below the price a typical family could afford to pay, the association said.

When the index is at 100, the average family has exactly enough money to qualify for financing for an average-priced home. The computations assume that buyers make a 20 percent down payment, the standard requirement for a home mortgage. The Office of Management and Budget sharply attacked the Federal National Mortgage Association this week for criticizing a government proposal to charge three federally chartered mortgage credit agencies with user fees to be paid to the U.S. Treasury.

In a strongly worded letter to Fannie Mae Chairman David O. Maxwell, OMB Deputy Director Joseph R. Wright Jr. said, "You have just joined the chorus of voices of those with their 'hands out' for continued subsidies at this time of deficit reduction."

Maxwell declined to comment about the letter, saying only that his opposition to user fees for Fannie Mae and the other federally chartered mortgage credit agencies remained the same.

Maxwell and other industry officials attacked user fees when first proposed last year as being "anti-housing" and "a thinly veiled attempt to get the government out of the business of helping moderate-income people buy houses."

In his letter to Maxwell, Wright said he was "disappointed" Maxwell had "rejected the opportunity to lead in this most important area of deficit reduction" and asked Maxwell to "refrain from engaging in further distortions of administration policy in pursuit of the personal or other self-interest that motivated your statement to the Home Builders."

IN THE BUSINESS . . . The D.C. Building Industry Association is presenting its 1986 Building Industry Award to Fairfax lawyer-developer John T. (Til) Hazel . . . Thomas P. Harkins Inc. has completed construction of 7830 Old Georgetown Road Office Building in Bethesda for the Allwin Building Corp. and a limited partnership . . . William C. Smith & Co. Inc., a real-estate management and development firm, has moved to a new location, at 1220 L St. NW, and also formed a new division called the Tremont Hotels Group. The division manages the Tremont hotel in Baltimore and is developing another hotel, the Tremont Plaza, also in Baltimore . . . Democracy Center, a 700,000-square-foot office park in Montgomery County, has been named as last year's best office park by the Maryland-D.C. chapter of the National Association of Industrial and Office Parks.

PERSONNEL FILE . . . E. Clayton Embrey Jr. has been promoted to senior vice president of Weaver Bros. Inc. . . . Patrick G. Power has been appointed president of Miller and Smith Homes, a residential building firm . . . R. Anthony Rogers has been appointed president of Town & Country Mortgage and Investment Corp. in Fairfax . . . Robert D. Dustin has been named vice president at PaineWebber Mortgage Finance in Columbia.