When it comes to talking with your neighbors, I say it all depends on how well you know them, if you think they would call the cops if you had a party, and what you think they would say if you went over to talk to them. I have parties at my house all of the time. I have known my neighbors for years and they are all really cool. Never once have I told them about one of my parties in advance. I am sure that if they were bothered by one of my parties, they would either call me or come over prior to calling the cops, if they would even do that, which I doubt. If you have b*tchy neighbors, and went over to talk to them beforehand, they may tell you, "no party or I will call the cops." One of my friend's neighbors is like that. It sucks.
But anyway, to echo what others have said, keep people out of the front yard. Know what is going on and where. Don't be so silly as to invite any ol' Joe Blow you run into while out and about. Invite people you know and tell them that they can bring others along, just not a whole montage. A friend of a friend of a friend, etc will be the person who will most likely not respect your house.
But best of all, have a damn good time!
Tip: If you have a front door that is glass or has windows in it, cover those up. IF the cops happen to go over, they can easily peep into your party w/o you knowing. I don't know how it is there, but here, the cops cannot come into a house unless they actually see something which seems suspicious.