Black holes would have to not just be shrinking faster, but shrinking faster than the speed of light. That would account for why light could not escape, and why we could never observe them directly.
Well the singularity is already there, formed by the supernova or whatever force caused it.
Space CAN move faster than the speed of light (otherwise we could see things beyond our horizons). The event horizon is just where space starts REALLY shrinking.
Quick, Someone hire Sheldon Cooper to do the math. I can see a Nobel in my future!