UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT

                     Pursuant to Section 13 or 15(d) of the
                         Securities Exchange Act of 1934

Date of Report:  March 30, 2005
(Date of earliest event reported)


                        Asset Backed Funding Corporation
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             (Exact name of registrant as specified in its charter)

        Delaware                    333-121564              75-2533468
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(State or other jurisdiction   (Commission File No.)      (IRS Employer
    of incorporation)                                    Identification No.)

  201 North Tryon Street, Charlotte, North Carolina                 28255
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Address of principal executive offices                            (Zip Code)

Registrant's telephone number, including area code       (704) 386-2400
                                                  ------------------------------


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        (Former name or former address, if changed since last report)


Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:

[_] Written communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)

[_] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)

[_] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
Act (17 CFR 240.14d-2(b))

[_] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange
Act (17 CFR 240.13e-4(c))




ITEM 8.01.  Other Events
            ------------

            On March 30, 2005, Asset Backed Funding Corporation (the
"Corporation"), sold ABFC Asset-Backed Certificates, Series 2005-HE1, Class
A-1SS, Class A-1MZ, Class A-2SS, Class A-2MZ, Class A-3A, Class A-3B, Class
A-3C, Class M-1, Class M-2, Class M-3, Class M-4, Class M-5, Class M-6, Class
M-7, Class M-8, Class M-9 and Class B-1 (the "Offered Certificates"), having an
aggregate original principal balance of $1,723,963,000.00. The Offered
Certificates were issued pursuant to a Pooling and Servicing Agreement, dated as
of March 1, 2005 (the "Agreement"), among the Corporation, as depositor, Wells
Fargo Bank, N.A., as master servicer and securities administrator, and JPMorgan
Chase Bank, National Association, as trustee, a copy of which is filed as an
exhibit hereto. ABFC Asset-Backed Certificates, Series 2005-HE1, Class B-2,
Class B-3, Class CE, Class P and Class R (the "Private Certificates" and,
together with the Offered Certificates, the "Certificates"), were also issued
pursuant to the Agreement but were not publicly offered.

            As of the date of initial issuance, the Offered Certificates
evidenced an approximate 96.80% undivided interest in a trust (the "Trust"),
consisting primarily of conventional fixed-rate mortgage loans and
adjustable-rate mortgage loans, secured by mortgages creating first and second
liens on one- to four-family properties and certain other property. The
remaining undivided interests in the Trust are evidenced by the Private
Certificates.

            Interest on the Offered Certificates will be distributed on each
Distribution Date (as defined in the Agreement). Monthly distributions in
reduction of the principal balance of the Offered Certificates will be allocated
to the Offered Certificates in accordance with the priorities set forth in the
Agreement.

            An election will be made to treat certain assets of the Trust as one
or more real estate mortgage investment conduits for federal income tax purposes
(each, a "REMIC").




ITEM 9.01   Financial Statements and Exhibits
            ---------------------------------

(c)   Exhibits

Item 601(a)
of Regulation S-K
                              Description
                              -----------

(EX-4)                        Pooling and Servicing Agreement, dated as of March
                              1, 2005, among Asset Backed Funding Corporation,
                              as depositor, Wells Fargo Bank, National
                              Association, as securities administrator and
                              master servicer and JPMorgan Chase Bank, National
                              Association, as trustee.





            Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.

                                   ASSET BACKED FUNDING CORPORATION


March 30, 2005

                                   By:    /s/ Kirk B. Meyers
                                          ----------------------
                                   Name:  Kirk B. Meyers
                                   Title: Vice President





                              INDEX TO EXHIBITS
                              -----------------


                                                                   Paper (P) or
Exhibit No.             Description                               Electronic (E)
- -----------             -----------                               --------------

(EX-4)            Pooling and Servicing Agreement, dated as             E
                  of March 1, 2005, among Asset Backed
                  Funding Corporation, as depositor, Wells
                  Fargo Bank, National Association, as
                  securities administrator and master
                  servicer and JPMorgan Chase Bank, National
                  Association, as trustee.