Fitch Rates ABFC's $492MM Asset-Backed Certificates 2005-OPT1.

NEW YORK -- Fitch Ratings has assigned the following ratings to Asset-Backed Funding Corp.'s (ABFC) asset-backed certificates, series 2005-OPT1, which closed on Aug. 30, 2005:

-- $403.89 million classes A1SS, A1MZ, A-2A, A-2B, A-2C 'AAA';

-- $22.09 million class M-1 'AA+';

-- $19.86 million class M-2 'AA';

-- $6.21 million class M-3 'AA-';

-- $6.45 million class M-4 'A+';

-- $5.96 million class M-5 'A';

-- $6.21 million class M-6 'A-';

-- $5.46 million class M-7 'BBB+';

-- $3.48 million class M-8 'BBB';

-- $5.21 million class M-9 'BBB-';

-- $4.22 million non-offered class B-1 'BB+';

-- $2.98 million non-offered class B-2 'BB'.

The 'AAA' rating on the senior certificates reflects the 18.65% total credit enhancement provided by the 4.45% class M-1, 4% class M-2, 1.25% class M-3, 1.30% class M-4, 1.20% class M-5, 1.25% class M-6, 1.10% class M-7, 0.70% class M-8, 1.05% class M-9, 0.85% non-offered class B-1, 0.60% non-offered class B-2 and the initial and target overcollateralization (OC) of 0.90%. All certificates have the benefit of monthly excess cash flow to absorb losses. In addition, the ratings reflect the quality of the loans, the integrity of the transaction's legal structure as well as the capabilities of Option One Mortgage Corp. as servicer and Deutsche Bank National Trust Company, as trustee.

The certificates are supported by two collateral groups. Group 1 will consist of mortgage loans that have original principal balances that conform to Fannie Mae and Freddie Mac guidelines. The Group 1 mortgage pool consists of first lien, adjustable-rate and fixed-rate mortgage loans that have a cut-off date pool balance of $200,028,761. Approximately 16.72% of the mortgage loans are fixed rate mortgage loans and 83.28% are adjustable-rate mortgage loans. The weighted average current loan rate is approximately 7.395%. The weighted average remaining term to maturity (WAM) is 356 months. The average principal balance of the loans equals $156,395. The weighted average original loan-to-value ratio (OLTV) is 79.29%. The properties are primarily located in California (14.86%), Florida (9.62%) and Texas (6.97%).

Group 2 will consist of original balances that may or may not conform to Fannie Mae and Freddie Mac guidelines. The Group 2 mortgage pool consists of first and second lien, adjustable-rate and fixed-rate mortgage loans that have a cut-off date pool balance of $296,453,236. Approximately 16.20% of the mortgage loans are fixed rate mortgage loans and 83.80% are adjustable-rate mortgage loans. The weighted average current loan rate is approximately 7.370%. The WAM is 356 months. The average principal balance of the loans equals $212,816. The weighted average OLTV is 77.83%. The properties are primarily located in California (26.02%), New York (10.41%) and Florida (9.85%).

For federal income tax purposes, multiple real estate mortgage investment conduit (REMIC) elections will be made with respect to the trust estate.

Option One was incorporated in 1992, and began originating and servicing subprime loans in February 1993. Option One is a subsidiary of Block Financial, which is in turn a subsidiary of H & R Block, Inc.

Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures are also available from the 'Code of Conduct' section of this site.