What is really better for the enviornment, paper towels or washable rags?

Here in L.A. it seems like we are always in a drought, and in need of rainfall and water. I use a lot of paper towels in my everyday cleaning, and they are not the ones made of recycled paper. I was just wondering if it would be better for me to use rags and other washable materials to do my cleaning, even though I’d have to wash them, which obviously, uses water. Plus, I think I’d have to use a lot of rags, because they are not very sanitary. What is your opinion?