I am at a cross roads with my career and would like some advice. I have been with my current employer for 16 years. My current position is being eliminated in Massachusetts, but have been offered to be relocated to Florida for another position, same salary. The current home I live in is killing me. I was 1 of the unlucky/stupid people that origianlly got into my home on an interest only loan. I refinanced at the beginning of last year and the new payment is starting to be more then I can bare. Will having my house foreclosed on destroy me completely and will the mortgage company come after me for any difference in what the house sells for and what the pay off is. I'm sure they will and it looks like bankruptcy after that? Any suggestions/advice would be appreciated.

Put your house up for sale for the pay off at least that way your credit will not be completely ruined... That is how I bought my house I am in. The owners made about 1,500 dollars on their sale. The bank gave them a chance to sell it before foreclosing... call them and let them know that you need to sale.
Also if you foreclose and the banks makes a profit from your property they can not sue you. The house next to me sold for about 30,000 more than what was owed... of course they tried to sue them for the balance of the loan but their lawyer prevented it

So you lose your home and go bankrupt, you will be one of the about 14,000 people that happened to last month across the US
Your credit will be in the pot for many years, but guess what, the foreclosure will do that anyway.

So you try to sell it the best you can, even at a loss if you can afford it. See if the lender will allow a short sale if here is no other choice,
But remember often life brings some bad chocies and no good way out of some things. At least you will still have a job.