An underwater place or situation is one that involves being surrounded by water. You can find yourself underwater while swimming or scuba diving.
When we talk about something happening underwater, it's usually because of activities like swimming, snorkeling, or exploring ocean environments. People often use phrases like "I went snorkeling and saw a beautiful coral reef underwater" or "The scuba diver was trapped underwater for a few minutes before getting rescued." Underwater can also refer to objects or equipment used in these activities, such as a waterproof camera that's designed to work underwater.
How common is "underwater"?
Word underwater is considered uncommon in modern English. It has a balanced usage among all categories: speech, fiction, newspapers and academic texts.
Definitions
adjective
(not comparable) Beneath the surface of the water; of or pertaining to the region beneath the water surface.
Example: Watch out for underwater obstacles.
(nautical) Beneath the water line of a vessel.
Example: When the ship was brought into dry dock, it was found that she had underwater damage.
(figuratively) In difficulty, especially financially.
(finance) Having negative equity; owing more on an asset than its market value.
Example: We've been underwater on our mortgage ever since the housing crash.
(finance) Of an option, having a strike price higher (call options) or lower (put options) than the current market price of the underlying asset or financial product; for example, an option to buy shares at $20 when the current market price is $15.