Hello, MD94, and welcome to Psych Central! Wow, what an early age to get into a serious relationship and to have a baby. People do change a lot as they go through their teens and into their twenties. It could be, in part, that she has changed and that's why she is now wanting a new relationship. Plus she is mentally healthier, as you say. And she might have gotten into a relationship with you based on her emotional issues at the time.
You don't say what her diagnosis is. Being in a relationship with someone with a mental illness can be tough. You are commended to have stuck by her. And I say that, knowing that I am mentally ill, too.
Do you think she would be willing to go into counseling with you? If not, then I also suggest you go alone. After talking to a counselor, then I think you can make your decision better.
If I have to answer the question right now, based on what you have said (and I only know one side of the story), then I would recommend that the two of you separate for awhile to see how much the relationship does mean and if being apart is actually a relief.
I hope things will work out for the best.