I think it's the interaction, the fact that you aren't just watching what's happening, you're immersed in it.

I haven't played the second game, but I adored the first! I'm the same with horror games, but if you give it some time and just always keep it in your head that nothing can hurt you, you can adapt to it, and I'm glad I did, it's a lot of fun when you can enjoy it. I hope you can at some point, OP!