Hey guys i was just wondering I was under my car before and their is rust all over the place underneath like everything has rust is that bad?

 

Not really.

 

should i go underneath and sand it out?

 

I wouldn't.

What specifically is rusted? And how bad?

If a piece of metal had a uniform layer of rust, it can't rust any more. You're not necessarally looking at failure of the metal or anything like that. If you remove the rust and leave the metal exposed again, it'll start to rust again.

 

everything all the bolts are rusted the shocks etc

 

I'd leave it alone unless something is broken or needs replacing. You'll never get rid of all of the rust and most likely things will get worse if you start grindong off what's already there.