Can I negotiate the real estate agent's commission in Israel?

Yes, but only before you sign the commission agreement. The 2% + VAT rate is a market norm, not a legal maximum. On higher-value properties (above NIS 5 million) a rate of 1.5% is often achievable. On new construction from developers, buyers frequently pay no commission at all because the developer pays the agent directly. Once a written agreement is signed at a specified rate, that rate is contractually binding and cannot be changed unilaterally.