Esperanza and her family move to Mango Street. Esperanza recalls the many places she's lived in her short life and why she feels like she has to have a real house that she can be proud of.
A new family moves into Cathy's house, and Esperanza meets Meme, Louie, and Louie's cousins. When Louie's cousin steals a Cadillac, all the neighborhood kids get to take a ride in it before he's chased by the police.
A woman from a wealthier family gives Esperanza and her friends some high heels and they wear them around the neighborhood. They later get some unwanted attention from a creepy old man and ditches the shoes.