What you need to know is that use of deadly force is appropriate when a person is "in imminent fear of serious bodily injury or death."
This is judged by a subjective, not an objective, test, i.e., it is the perception of the person who used force, not the after-the-fact judgment of a court or jury, that counts. It doesn't matter if you'd known the neighbor since you were a child or had just met him, only whether the jury believes that you, at that moment and in that unique situation, reasonably believed that you were about to be seriously injured or killed by the person against whom you acted.
A couple of notes:
"Disparity of force" applies in a lot of situations, such as where a person responds to verbal threats with a baseball bat. But if you are at rest in your home and are suddenly assaulted by a person, you might reasonably be in fear for your life and respond with deadly force. Or, you might be frail or elderly, and your only recourse to physical force might be with deadly force. In a nutshell, if you are truly in fear for your life, it doesn't matter what kind of force you face, as long as you perceive an immediate, deadly force.
Second, note that the use of deadly force is never justified in defense of property, human life always taking precedence to any physical property of any value. However, if you confront someone destroying/stealing your property and they attack you...
Finally, the disclaimer: the above does not take into account the many state and local laws in effect, and you should check them before acting on the above.