After I separate from AD, will my AF Reserve drills be held in my local area? If not, can I get a waiver to stay in the local area?

Have you talked to a Reserve recruiter? I'd start there.

It depends on what unit you get assigned to. I know people who are Army Reserve and don't live in the state their unit is in. One of the civilians I work with is Reserve and since Covid started they've had TEAMS drill once a month. But he's on his AT right now - in another state.

My brother is NG and in a transportation company - so their AT they drive to different places around the country sometimes. For drill his unit is in the same state but he's at the armory all weekend.

I'm assuming AF Reserve or Guard is similar and it just depends on what unit you get assigned to, where but for AT you're likely going to be gone for those 2 weeks. No you're not likely to get a waiver.

If you have family that depends on you as a caregiver, Reserves is likely not what you want to do.

Is the Unit you are joining in the local area? During your two weeks it is possible to be sent out of the local area from where your unit is located. You will need to have a family care plan in place while in the reserves just as you are required to have while on Active Duty. Military service is not done at the discretion of your convivence or schedule. Sometimes you may be sent away for training or deployments. It's part of the job and should be expected.

The Reserve unit will be wherever you affiliate with a reserve unit. If they don't have your job you will have to pick a new one that your new unit does have. The Reserves is not AD, you don't pick a job and then move to it, you move to an area then pick a job in the unit close to you