The demand for carbon dioxide (CO2) gas detection is increasing nowadays. However, its fast detection at room temperature (RT) is a major challenge. Graphene is found to be the most promising sensing material for RT detection, owing to its high surface area and electrical conductivity. In this work, we report a highly edge functionalized chemically synthesized reduced graphene oxide (rGO) thin films to achieve fast sensing response for CO2 gas at room temperature. The high amount of edge functional groups is prominent for the sorption of CO2 molecules. Initially, rGO is synthesized by reduction of GO using ascorbic acid (AA) as a reducing agent. Three different concentrations of rGO are prepared using three AA concentrations (25, 50, and 100 mg) to optimize the material properties such as functional groups and conductivity. Thin films of three different AA reduced rGO suspensions (AArGO25, AArGO50, AArGO100) are developed and later analyzed using standard FTIR, XRD, Raman, XPS, TEM, SEM, and four-point probe measurement techniques. We find that the highest edge functionality is achieved by the AArGO25 sample with a conductivity of ~1389 S/cm. The functionalized AArGO25 gas sensor shows recordable high sensing properties (response and recovery time) with good repeatability for CO2 at room temperature at 500 ppm and 50 ppm. Short response and recovery time of ~26 s and ~10 s, respectively, are achieved for 500 ppm CO2 gas with the sensitivity of ~50 Hz/µg. We believe that a highly functionalized AArGO CO2 gas sensor could be applicable for enhanced oil recovery, industrial and domestic safety applications.