This is what wood siding does when it’s in contact with soil. It will absorb the moisture from the soil, causing it to rot. This can and will attract termites. The soil grade is too high. Our recommendations are to remove to soil off the siding to where at least 3-4 inches of the slab line is showing. Any time that wood comes in contact with the soil, the wood will absorb the water. This is not good because termites now have an easy access to your home.