Actually the Israelis are willing to return Golan Heights back, in exchange of demilitarized borders similar to the Sinai, staffed by the UN peacekeepers and US FMS "compensation" say AWACs, J-STARS since Mount Hermon Observation Post is assumed to be dismantled. The relatively secular Assad regime in Syria did entertain this idea and they made it clear they would honor Israeli's "reasonable" demand.
Ironically Iran and the Palestinians are the ones trying every way to sabotage any agreement between Israel and Syria.
For the Palestinians, they are fully aware the history when Israel made sustainable, durable peace with Egypt and Jordan, those two countries were jumping up for joy to kick the Palestinians out as they no longer have to deal this pain in the butt issue.
Should Syria make similar deal, the PLO would be hard pressed to deal with exile Hamas people and more importantly Israel will not make further concession to the Palestinians. Not cool.
Like it or not, it's a zero sum game and no wonder the Arab Leagues in the past insisted negotiation to Israel as a
group, not
individual states since they did not and still do not have trust among themselves.
For the Iranians, it's even worse. Any agreement between Israel and Syria will mean Syria again come back to the mainly Sunni Arabs "family". Should that happen, that would inflict a heavy blow to the Iranians since they no longer count on Syria to pop up Hizbullah by default. Plus, the Sunni Iraqis could going forward count on Syria and the Saudis support to counter the de-facto Iranian proxy, the Shia Iraqis currently controlling Iraq.
Not going to be surprised any Syria and Israel agreement is going to be a game changer, at the expense of the Palestinians and the Iranians.