The wallpaper texture I applied on my wall flickers very heavily for some reason and I don’t know why. When I’m close to the mesh, it looks somewhat fine but once I take the camera far away the texture gets heavily distorted. I did try turning antialias of the render on and off but that doesn’t seem to be the issue. Secondly, this issue doesn’t happen when there is only color and no texture on the material, so I’m assuming its something to do with the texture.
Are you using POT-textures?
My texture is a 280x280 jpg image
Can you please resize your texture to 256x256 and check, if the result looks better? It would be also helpful if you share your settings of the texture object?
Okay, looks like I found the reason, it was not the texture size. It was this one line that was causing all the issue:
texture.minFilter = THREE.LinearFilter
Thanks, this issue can be closed now. 
Yes, it should be LinearMipMapLinearFilter(default) so mipmaps are used. I initially thought mimaps were not generate because of a NPOT texture. But then i’ve remembered that NPOT textures are automatically converted to POT textures by three.js. So it was just a wrong texture property.