The average American homeowner uses about 89,100 gallons of water a year on the outside of the home.

As more people switch to eco-friendly and energy-efficient practices, they're discovering the problem isn't just leaky faucets and inefficient sprinklers. The part of their landscape that wastes the most water is often the greenest: their lawns.

"The English lawn has become the American expectation," says Chris Brown, executive director of the California Urban Water Conservation Council, "but we're trying to reproduce a landscape that wouldn't grow here naturally."

To dissuade wasteful habits, water providers in drought-prone areas like California and Nevada are offering incentives for homeowners to "green" their lawns by growing native plants as well as picking up other water conserving practices.

The San Diego County Water Authority gives rebates starting at $230 for weather-based irrigation systems and $4 rebates per rotating hose nozzle that acts like an on-off switch. The Southern Nevada Water Authority is paying homeowners $1 to $1.50 per square foot — with a maximum of $300,000 — to rip up their grass and replace it with water efficient plants.

"People's perception of water use and the reality are quite different," said Doug Bennett, conservation manager at the Southern Nevada Water Authority. "They don't know how much water their lawns use. They think, 'No, it's my shower.'"

The federal government is also interested in changing consumer water habits. The Environmental Protection Agency has launched a water conservation program, called WaterSense, to help consumers find water-saving products for inside and outside the home.

Here are some of the best ways to save water outside your home:

LANDSCAPING: Skip the grass and grow plants Mother Nature intended for your region and climate. A study done last year by the Southern Nevada Water Authority found the annual water bill for a lawn with grass was on average $2,600, almost 3.5 times more than the $770 bill for a lawn with native plants, such as Foxtail Fern and Pink Desert Hibiscus.

Another bonus? No more lawnmower.

In semiarid regions such as California and Arizona, try shrubs like Western Redbud or Toyon, which bloom pink flowers. In New England, plant the adaptable highbush blueberry shrub or the versatile American witch hazel. Deer fern, the red huckleberry shrub and the orange honeysuckle vine all grow well in the Pacific Northwest. Check your local water authority, nurseries or plant or flower society for native plant suggestions.

If you want grass, put it areas where you need it the most, such as areas where you kick the soccer ball or picnic. Plant it in shady areas instead of in direct sunlight. Shaded grass requires less water, up to half less depending on the grass type. And keep the blade length around three inches to slow evaporation and reduce heat stress.

WATERING: To reduce loss to evaporation, water in the morning or evening. Watering in the morning also cuts down on fungus growth. Don't water in the wind because the drops won't fall where you need them to.

Avoid watering the pavement. Make sure sprinklers and hose nozzles are watering the plants, not the driveway or sidewalk. Weed regularly so they don't compete with plants for water.

Resist the urge to over water. A study by Southern Nevada Water Authority found that residents watered up to three times too much during the fall.

One way to avoid over-watering is to group plants by water needs to make them easier to care for. Also, water when plants show signs of distress like wilting or discoloring. By holding off on watering, your plants respond by growing a deeper root system, making for healthier plants in the long run. If you're worried, check two inches below the soil surface to see if it's moist. If it's bone-dry, water.

Don't forget to pay attention to the weather.

"It's not useful to have sprinklers run during a rainstorm," says Greg Kail, spokesman for the American Water Works Association. And it's not efficient to water on Saturday if it already rained on Thursday.

To help you keep track of the weather, install automatic water timers ($15-$100), moisture or rain sensors ($25-$50) or weather-based timers ($150-$800) on irrigation systems. Weather-based systems are plugged into the Weather Channel or other data sources and alter the watering schedule based on the information it receives. The rain sensors will shut off watering valves when it gets wet.

You will need a trained professional to install these systems. Warns Brown: "You can install a smart timer and it can be a dumb timer if it's not installed properly."

Anywhere you have mulch, install drip irrigation hose system, which run between $11 and $35. These hoses snake through plant beds at or just above soil level and slowly release water directly into the soil. The loss to evaporation is minimal and it gets right to the root systems.

MULCH: Mulch is an easy way to prevent runoff and preserve moisture. Use it around plants and trees to reduce evaporation, to keep the soil and roots cool, to enrich the soil with organic material and to discourage weed growth. Also, line sidewalks and driveways with an eight-inch mulch buffer using wood chips, shredded wood, bark nuggets, landscaping stones or rocks. This will curb water runoff.

PLUMBING: Just like indoors, outdoor leaks are a major source of water loss. A dripping faucet wastes about 75 gallons of water a week. But outside leaks often go unnoticed. Check for leaks in hoses, pipes, faucets and hose connections to ensure they're in working order.

Buy automatic shut-off nozzles, which completely turn off the water when the hose isn't in use. Water pours out of an open hose about 10 gallons a minute, so the seconds count. Also, the nozzle will direct the stream better than your finger.

OTHER: Cover pools and spas to reduce evaporation. An uncovered pool can lose about 1,000 gallons of water each month. Cut out sprinklers and other water toys that use a constant stream of water. Instead, buy toys that use a finite amount of water like small wading pools.

Instead of hosing off the sidewalk and driveway, sweep leaves and dirt with a broom. And when you wash the car, remember to turn off the water when you're not using it. Otherwise, you waste about 100 gallons of water each car wash. During drought times, take your car to a professional car wash which typically recaptures and recycles water.

In the West and Midwest, evaporative air conditioners, or swamp coolers, can consume between 10,000 and 20,000 gallons of water each year. To reduce its consumption, turn on the cooler when it hits 85 degrees versus 79 degrees; you'll use 50 percent less water, according to the New Mexico Water Use and Conservation Bureau. Only run the fan during rainy or humid days or on cooler nights. And routinely check for leaks.