Why not just a concise, " I know we've been neighbors for a while, but we are really not comfortable with this" Or, "No thank you but it just won't work for us". Its none of their business to know why. I know there is no ultra graceful way to do it, but you've got to do it somehow or you will be sorry.
I just don't understand why people are so afraid to say "no thank you" politely to something they really don't want to do. I don't' find it socially unacceptable, I just try and find a way to say it graciously, and point it to something being wrong with me , not them.



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