I usually scale the figure down at frame 1, and return it to the correct scale at the end of the simulation. Scale the clothing to just fit on the scaled-down figure, but don't scale it up at the end; and DON'T parent it to the figure because that will have the same effect. You can vary the amount of scaling to get differing degree of tightness.

Hardly a secret, but it doesn't help shedofjoy much. I would probably start by making a full dynamic simulation with the stretching as outlined above. I imagine that the suit would slip off at some point, so apply double sided tape, sorry I mean constrained vertices to hold it in place. But only use the minimum that you need. This may require some experimentation.