You are probalbey in good shape, just because you are so upside on the mortgage. But there are people out there who owe 100% or more with intrest only loans because that is what they could afford. If this market goes south as I think it will there will be a lot of people losing their shirts.
If it's your primary residence you only "lose" if you sell it.
Yes, you lose paper equity, but...it was only paper to begin with.
Condos are still very strong in certain locations.