Did anyone feel bad for Peg that no one showed up to her Christmas party?

Yes!

She put so much effort and planning into that party only for no one to show up. Which is so shitty because her neighbours have lived near her for years, if not decades, but they won't come to support the family they've lived beside for YEARS because Joyce decided to spread a horrible rumour that Edward R*ped her in the hair salon.

Actually, Helen even says at one point "I don't have anything against Bill or Peg" SO WHY DIDN'T YOU GO TO THE DAMN PARTY?! You've known these people for YEARS and now you won't even give them the time of day! Sorry, it makes me so mad. I have a lot of feelings about this movie lol In short, fuck those neighbours. They were horrible people and they deserved to feel guilty at the end when they thought Edward was dead.

I feel bad that in general, none of her neighbors have any respect for her. They only paid attention to her when she brought a unique stranger to her own house.

Her neighbours were all lousy people anyway.

Of the neighbors I didn't think Helen and Marge were as bad as Esmeralda and Joyce, as a kid I used to think Esmeralda was the worst of the two, as an adult I find Joyce to be the worst of the two.