Alimony and negative equity in marital home

Home was purchased 9 months prior to separation. STBX is wanting half of the down payment as part of a settlement, however the home has lost value (because of the housing market) and has negative equity.
Question # 1. is the negative equity considered part ED and considered debt?
Question # 2. Since I cannot sell home without losing money, will I be made to sell it anyways?

Yes, negative equity in the martial home is part of ED, and will be counted as a negative. I cannot predict the outcome of anyone case, but if you are able to afford the home and can refinance to remove your ex from the loan you would most likely not be forced to sell.

Thank you Erin. He is not on the loan, only on the deed per NC law. Can it be ordered that he sign quit claim deed?

Yes, if the judge finds that to be equitable.