Bad neighbor, racist, or just plain CRAAAAZZZYYYY!!!

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My family and I just moved to AZ into an apartment complex and have pretty much kept to ourselves and gone about our lives minding our own business and not bothering anyone until... A few nights ago my husband took the trash out at around 12:30am. Our upstairs neighbor's dogs went ballistic around the same time and I figured they were barking at him. I wasn't happy, but didn't do or say anything. The next day our upstairs neighbor comes banging on my door. Her first question (no hello or intro to who she was) "Do u speak english?" My shocked and taken aback reply was, "Yes." She then went into a total rant and rave session about she had been flashed by someone the previous night and had called 911 and the police didn't come and if I hear her dogs bark it means danger. Since we live in a crime-free housing complex, I innocently pointed this out to her by saying, "Surely he doesn't live here bcos it's a crime free complex." Her agitated response was "U obviously don't understand english. I'll come back when your husband is home." I of course then got upset and defensive and replied, "U most certainly will not! I speak English as a first language, am a speech therapist and audiologist and have a master's degree in early childhood intervention, u will speak to me." Since she was still mad at me she started to shout that I didn't understand what she was saying. At this point people around the complex are starting to stare at me and wonder what I've done (which was nothing, she came to my door). So I repeated back to her what she had said and told her that I understand she's upset but how could the man live in the apartment complex when the sign says crime free. Ahhh, light goes on. She interpreted what i said as, "The man doesn't live in my apartment." Crazy nut! Not what I said at all. Anyway, she continued her rant and rave for about 15 more mins finally getting to, "I dun even know what you are. What are you!? Needless to say I was very taken aback and shocked by this question, since I was raised to believe that I am a human being and deserve the same rights as all other human beings. She then said, "U look spanish to me, but you could be black." I;m sorry, but being from South Africa and not being either black nor spanish nor looking like either of those races, really shocked me further. So I proceeded to tell her that I was south african born but Indian. So she informed me that she had indian friends. Then she told me that obviously I had a prob with her being a good neighbor and she wouldn't bother me again (which she did straight away the next day), but I have no clue what's wrong with her. Needless to say she's made me mad now and her dogs are bugging me even more now, esp since they barked at my toddler son and had him crying. But I'm really curious, is she nuts, schizo, rude, racist, just a bad neighbor, or what? Do I report the incident to the front office or just leave it and wait for it to happen again? Am I the only person who has a crazy/bad neighbor or are there more like her out there?