You will control the asset and not have constant quotes giving you anxiety.

Preferably a beach community from San Diego up to Santa Monica, Orange County most preferred I think just because I could at least drive by it when the anxiety demands it.

Is this a recurring situation with the tenant, or new due to COVID-19?

Get an amazing real estate broker and property manager setup in Vegas (hint, search these forums for the top recurring 2-3  names in each category, call them, chat with them, build a relationship).

Allow the tenant to hold your property hostage due to her anxieties...okay - not an option.Do over on 3. 

I work in the healthcare field, but am only two years in and am finding that having other people's health in my hands is causing me mass anxiety (but due to high student loan debt, I feel stuck). 

Depending one one’s personality, they may be driven by recurring accomplishments which are usually possible at the workplace (because there are daily or weekly issues/problems that need to be resolved and those bring a sense of accomplishment.

Not as a yearly or monthly recurring expense.

If I were to do that and hire an agent for the state of Illinois, what work, and how much recurring work would an agent have to do in order to conduct that business legally? 

Having a clear vision of what you want real estate to do for you will reduce or even eliminate your anxiety.