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Obama: No funding for gay students cut off financially by parents

The president did express dismay that "parents haven't gotten to the place I think they should be in terms of loving and supporting their kids," saying he hoped individuals would be judged by their character.

He also said that he believed parents would become increasingly less likely to cut off their gay children as attitudes on homosexuality evolved.

"It's likely to happen less and less and less in each successive year," Obama said. "Think about the incredible changes that have happened in the last few years."

The president went on to cite the repeal of the Defense of Marriage Act by the Supreme Court and the end of "Don't ask, don't tell" as evidence of progress.