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After creating instance group (managed) and saving, results in error: Quota Exceeded Limit:8.0. Actual error message is: Exceeded limit 'QUOTA_FOR_INSTANCES' on resource 'mig'. Limit: 8.0

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Instance creation is stuck because of exceeded quota. You could run the following command:

gcloud compute instance-groups managed list-instances $INSTANCE_GROUP_NAME --project $PROJECT_ID --zone $ZONE

It will list all instances in given MIG, and you should see error like this one next to instances that failed to create:

Error QUOTA_EXCEEDED: Instance 'instance-group-2-bdkd' creation failed: Quota 'IN_USE_ADDRESSES' exceeded. Limit: 23.0 in region us-central1

MIGs keeps retrying,so if the underlying issue is solved, the instances will get created eventually..

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