That may be correct RAW (I am not interested in checking or debating that point), but that's dumb. And being dumb should be ignored. Should it be possible to locate an invisible creature? Absolutely, but without some sort of special sense or check you don't get to just know where they are, whether they are "hiding" or not. The rules are guidelines, and when they produce something that doesn't make sense, they are best adjusted or ignored.
All the more reason, that moving it up is a small buff without any worrying balance implications.