So my new neighbor is a Muslim and I must say he 's the bomb!
Is that supposed to be a joke there about terrorism?
There is but you would have to be "with it" to get it.
Not all Muslims are terrorist and not all terrorist are Muslims, terrorists can be of different races even if the media tends to portray them that way so joking about it can be hurtful. You should read some scholarly articles about terrorism so that you can better understand terrorism since it can be hurtful to somebody to assume they are a terrorist just because they are a Muslim.
I'm used to saying these things and my friends say it too.
Then you should speak up with your friends too. Just because you guys say those things, does not mean that it is okay to actually be saying them.