The White House explained that homeowners who were eligible would be able to modify their loans. More specifically, homeowners would need to have an underwater mortgage, but be current on payments.

One organization which expressed pleasure with the president's proposal was the National Association of Realtors.

"As the nation’s leading advocate for homeownership and housing issues, NAR knows that stabilizing the housing market is key to the health of our economy and communities across the country," said Moe Veissi, president of NAR. "We are pleased that the president released a plan to help America's struggling housing market and homeowners. Improving access to simple, low-cost refinancing and streamlining the process will help hardworking families who have stayed current on their mortgage payments and will go a long way to helping keep more families in their homes."

The Mortgage Bankers Association also stated it supports the government in taking further action to help homeowners and improve the market. The group noted in a press release that it is fully behind a unified standard to create a clear picture for the real estate market. The hope is that it would benefit not only mortgage borrowers, but also servicers and lenders, equally.

"I want to commend the administration for recognizing that more can be done to get our housing market on track," said David Stevens, president and chief executive officer of the Mortgage Bankers Association. "The programs announced today will give lenders and other stakeholders additional tools to help borrowers and foster a renewed confidence in our real estate finance system."

The title insurance industry sand the praises of the mortgage intervention plan, as the American Land Title Association noted the importance of such measures. Michelle Korsmo, chief executive officer for ALTA, noted that increasing the access to refinancing that is affordable can help strengthen the market significantly. In addition, Korsmo stressed transparency in the process to help encourage consumers to get into the housing market.

"To feel confident in the largest purchase they will make, homebuyers should be able to easily understand where their money is going," Korsmo said. "Just like when you go out to dinner, your check doesn't just give you a total price. Rather, each item is listed giving you a breakdown of what you pay for. Purchasing a home should have the same transparency."

However, not every organization was thrilled with the findings. The American Bankers Association stated that while it thinks the government is right to intervene in the market, it was not confident this particular plan would be successful.

"ABA is concerned that uncoordinated and ever-changing government programs, including those detailed today, create uncertainty in the market, increase the cost of homeownership, and reduce credit availability needed to support homeownership and the economic recovery," the organization said.

The association added that the banking industry wants to see the housing market not only succeed, but thrive. However, it noted that private modification may be the way to go, mainly due to the fact that approximately 80 percent of modifications were completed in this area compared to government programs.

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