Yes, you can make it from scratch.....or....you can use some of the pre-built effects. To find them go to Library, LiveFonts and then there are a few to choose from such as "clerk", "Freehand", "Gust", "hand", "Script" and "Tap". Hope this is of help and best of luck.
Oh sorry, there are lots of ways to do something. For changing the color of the font do this:
Select the text with the applied LiveFont, click the Text tab in the Inspector, then click the Style tab.
Use the Color well or color picker to define a new color.
To define a mix value between the default LiveFont color and the new color, click the disclosure triangle in the Face Color controls and adjust the Color Mix slider or value slider. A Color Mix value of 0% leaves the LiveFont at its original color; 100% completely changes the LiveFont to the new color.
This is where thinks get a little more tricky. You need to use the paint, bezier or b-spline tool and trace your text. Make sure your b-spline (or whatever) shape is white. Add a Write on Behavior to it so it animates. Then add an image mask to it so the white shape becomes invisible reveals the text. Here is a link to a tutorial on using an Image mask in Motion.
I have a great chapter on this subject matter in my training DVD Moving with Motion that I think is worth checking out. Of course I'm biased. Best of luck and hope this helps.
I liked this info too, bookmarked for future use. I was reminded that the original source of LiveType was a product called India, and in it, you could create your own live fonts, even animated fonts. Some of the animated Livetype fonts may be repurposed from the original India app. If you could find a copy of India, and something to run it on, you could build your own font that way. You'd have to be some kind of obscessed individual to go that far, though, I guess.