Our previous home had mulch in the front around all of the landscaping on a slightly sloping lot. We were selling and we ended up having to get a termite treatment done due the termites. No wood was in contact with the ground (brick & vinyl exterior) but I was told the mulch up close/against the house drew the critters to the house. No more mulch up against the house for me, now have the pea gravel.
GO BIG ORANGE !
I meant to behave, but there were just way too many other options available at the time.