The song was released as the second single from her third studio album, The Globe Sessions (1998), on November 23, 1998, and won an award for Best Female Rock Vocal Performance at the 43rd Annual Grammy Awards in 2001.

Commercially, the song peaked at number two on the US Billboard Triple-A chart and became Crow's eighth top-five single in Canada, reaching number four on the RPM 100 Hit Tracks ranking.

In Europe, the song entered the top 40 in Iceland and the United Kingdom.

"There Goes the Neighborhood", along with The Globe Sessions and its first single, "My Favorite Mistake", received nominations on the 1999 Grammy Awards.

With the release of the album Sheryl Crow and Friends: Live from Central Park, Crow won the Best Female Rock Vocal Performance for second year in a row with the track, after taking the prize with her rendition of Guns N' Roses hit "Sweet Child o' Mine" at the 2000 Grammy Awards.