Are you set to 64 bit or 32 bit @Ethyrdude? It's definitely happening with 64 bit in my game (graphics card is NVidia GTX 980 Ti). It may not be happening with 32 bit; I will have to check and edit this later.
Edit: it's happening for me on 32 bit as well. The area of effect is not as large as it used to be; my sim has to be positioned in some very specific spots, whereas I think before it was really obvious, wherever you had them.
I have the 64 bit version and I'm using a GTX 750. I tried it with and without roofs and I am not seeing the blinking any more. I used to have the flashing mostly in places that had fireplaces and if I moved the mouse around the room without touching individual sims, some of them would flash. I tried visiting the retail stores both in the daytime and at night, with and without roofs but I am not getting the same effect any more. I even tried visiting with aliens as I noticed in the video, the alien skins seemed to flash more. The aliens did not flash either.
Well, I'm glad it's fixed for you @Ethyrdude. May be a difference in our graphics cards/drivers/settings - who knows. A lot of people that had this issue were able to alleviate it by switching to 32 bit - that just didn't work for me.
