Termites and Mulch
Termites are going to be near your home on the Gold Coast as an accepted fact.
Termites being attracted to moisture and timber are also attracted to mulch. Termites may access your home through small cracks or gaps in your brickwork under the mulched areas. Hence keep mulch well away from building structures.
What do Landscape Gardeners say?
Edmund from Focalpoint Landscape Gardener Gold Coast has the following comments
"where would you like your termites in your garden or in your house"
We advise homeowners to ensure gravel is up against their house and only use mulch away from the house in the garden.
Termites need a colony to survive
With a slim chance termites would actually survive the mulching process and their need to colonise to survice there is little risk in using mulch appropriately in your garden.
Tea Tree Mulch
Made from the residue of plant matter after the extraction of tea tree oils, this comes from the Melaleuca plant. It breaks down reasonably slowly and therefore lasts for quite a while. Tea tree mulch is also said to have a repellent affect on termites. source ABC Mulch Fact Sheets