I got the same error message, when I did following:
-
created a bucket – it went by default to US region (used AWSCLI)
-
realized, the bucket shall go to EU region and deleted it (used AWS console)
-
(few minutes later) tried to create the bucket, specifying the EU region
At step 3, AWS console has shown me the error message from title of your question.
So I guess, that the bucket in US was deleted, but there are possibly some synchronization processes, which are taking time. And I hope, that waiting few hours I will find the bucket name again available for creation – this time in proper (EU) region.
FIX :- Edit: About an hour later, my attempt to create the bucket (in EU region) succeeded.