Are people with psychic abilities spiritually advanced?
No.
They may have a slightly elevated insight into your psyche, because they have a slightly elevated insight into their own, but what mostly separates them from the rest is that they take their perceptions, hunches and intuitions as truth. So they are, strictly speaking, simply deluded. How effective they are with you mostly depends on your suggestibility, and if you’re suggestible, it’s not good for you to see them.
Accurate perception of another is only possible in complete absence of ego. Even people who had genuine awakening experiences tend to elevate their perception of others over what others say, because ego always thinks it’s right and you’re wrong. Trusting people when they speak about their experience is a sign of personal growth.
I speak from my own personal experience with such people. In enlightenment, your old psychological self is fully understood and abandoned, so it’s easy for me to compare other people’s past perceptions of me to how I really was at the time. Some people who claimed to be awake or have psychic abilities made absolutely the most laughable mistakes about me, even though some things they said were accurate and I only realized it later. Very few though. But the mistakes were profound and way off base. All those misjudgments came from their own inflated egos. Basically, any close friend of mine was much more accurate in their perception of me than they were. They were mostly speaking about themselves, confidently projecting their fears and traumas upon me. Thankfully, I wasn’t very suggestible, but if I was, oh boy, the damage they could have done!
Generally speaking, don’t listen to anybody who’s trying to persuade you they know you better than you know yourself through some divine intervention. It is a somewhat contradictory advice, because it is also true that an enlightened person knows you better than you know yourself, but theirs is not a psychic ability. They speak from personal experience. They struggled with the same things you’re struggling with. And they can only help you see the things you’re not seeing if you speak to them openly and make an honest effort to understand yourself better. So you need to open up, it’s not magic. There’s nothing psychic about it, it’s still based on communication. If at times it feels like they are magically perceptive, it’s still only because you communicate to them who (you think) you are, verbally or non-verbally, even if only with your behavior or facial expression.
No direct perception of another is possible. All direct perception of another is an illusion within the dream. It may be accurate or it may not be. Don’t trust the mind too much.